Putin sparks gas price fears for winter

Russia’s Gazprom has issued a warning about winter gas supplies

Russia’s state-owned gas giant Gazprom has warned of potential supply shortages this winter, raising concerns over a new surge in gas prices.

President Putin’s recent threat to Europe regarding gas supply has heightened tensions in the region, putting pressure on governments to find alternative sources of energy.

In an announcement, Gazprom said: “Mild temperatures this winter have largely helped Europe get through the heating season. But there is no guarantee that nature will make such a gift in the upcoming heating season as well.

“As of 16th April, the working gas inventories in Europe’s UGS facilities totalled 56.6 billion cubic metres as compared to the amount of 58 billion cubic metres, which was recorded on the same date in 2020, i.e. the European companies already have to inject another 1.4 billion cubic metres of gas so as to achieve the maximum level of reserves observed in the 2019-2020 season, which made up 97.6 billion cubic metres of gas.

“This will not be easy to do, taking into account politically motivated decisions aimed at halting the imports of Russian pipeline gas. The competition for LNG supplies will have a considerable impact on the amount of gas available in the European market.

“Under such circumstances, the replenishment of gas reserves in the facilities required to reach last year’s level of reserves can pose a serious challenge to the European companies.”

Make sure you check out the latest Net Hero Podcast episode:

Latest Podcast