European countries have stockpiled more gas than they need due to a surge in LPG imports combined with unusually warm weather, Report informs citing Bloomberg.
It became known that the gas storage facilities were almost full even before the Europeans had time to raise the temperature in their homes. However, the risks are still ahead: a lot depends on the weather, because a cold snap will quickly force Europe to start using reserves.
Governments are also concerned about the threat of new sabotage of energy facilities that could disrupt the market. But at the end of October, the situation is better than politicians could have hoped.
Warm weather has helped curb demand so far, but European policy makers are concerned that lower gas prices will boost consumption as temperatures cool.
Europe’s gas glut is expected to continue until at least December. It is unlikely that Europe will see a prolonged cooling spell in November.
In addition, according to estimates, the reduction in gas demand in 2022 is estimated at about 7-9%, mainly due to the shutdown of large industrial consumers. However, this falls short of the EU target of 15%.