EU exhausting gas from storage at quick pace since 2022

(MENAFN) The EU has significantly increased its withdrawals from gas storage facilities, depleting reserves by 19% from the end of September to mid-December, the fastest rate since the 2021 energy crisis, according to data from Gas Infrastructure Europe. This compares to smaller drops in previous years, with storage now at 75% capacity, down from nearly 90% at the same time last year.

Experts attribute the higher depletion rate to colder weather driving increased demand and a decline in gas imports. Natasha Fielding from Argus media noted that Europe has had to rely more on underground storage due to reduced liquefied natural gas (LNG) imports.

While this winter's gas demand has led to faster storage depletion, experts warn that it could make refilling reserves more challenging next year, especially as future LNG prices are higher due to concerns over supplies from the US and Qatar. The EU's reliance on more expensive LNG has increased since the 2022 escalation of the Ukraine conflict, leading many countries to reduce their dependence on Russian energy.

Although Russian gas still flows through pipelines like TurkStream and Ukraine, the latter's transit agreement with Russia expires at the end of 2024, raising concerns over future supplies. Some EU nations, including Hungary and Slovakia, remain heavily reliant on Russian gas.

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