Germany's Gas Storage Levels Plummet Amid Iran War Disruptions
Germany's gas storage facilities are barely over half full due to disruptions in the Strait of Hormuz caused by the Iran war. According to Gas Infrastructure Europe, Germany's underground natural gas stores stood at 50.14% on Wednesday, which is the lowest level for mid-August in several years.
This is a quarter lower than last year and more than 45 percentage points lower than in 2023 and 2024, when the country made robust contingency plans due to Russia's war in Ukraine.
European wholesale gas prices remain high, at around €65 ($76) per megawatt-hour, roughly twice as high as during the same period last year. Market players are betting on falling gas prices over the next few months if the Iran war ends, allowing them to profit from lower rates.