Europe without Russian gas. The EU prepared for winter ahead of schedule
Date: 2024-08-30 Author: Nazar Litvin Categories: WORLD
The reserves will help the EU survive the fourth winter of the gas war unleashed by the Kremlin even before the invasion of Ukraine, and in the future, abandon Russian raw materials altogether.
Gas pumped underground reduces the risk of an energy crisis in Europe, despite the threat of stopping transit through Ukraine, which accounts for almost half of Russian gas exports to the EU. The gas pipeline passes through a station in the Russian Kursk region, recently captured by Ukrainian troops. In addition, the transit contract expires at the end of the year, and Ukraine is not going to renew it.
Gazprom began reducing gas supplies to Europe even before Russia's attack on Ukraine, and after the invasion, it put the EU on a starvation diet. In response, the European Commission approved an emergency gas saving plan called REPowerEU and set a target of filling underground gas storage facilities by 80% by November 1, and then 90% after Gazprom switched off Nord Stream in August 2022.
Last year, the target was reached by mid-August, and by early November, the storage facilities were already full.
This year, the pumping volumes are lower than last year, as pipeline supplies from Russia remained roughly the same, and LNG imports fell in line with prices in Europe, due to a recovery in demand from competitors in Asia and a reduction in supply due to supply disruptions from the United States.
However, the 90% target was finally reached last week. How did the EU do it?
First, Europe continued to reduce consumption, despite a recovery in industrial demand, suppressed by high gas prices over the past two years. The main role in the savings was played by the rapid growth of green energy - wind and solar, as well as a jump in electricity production at French nuclear power plants after the completion of large-scale repairs.
Secondly, the weather helped.
Of the three winters of the Russian gas war against Europe, the last two were record warm, and the last one was also windy. As a result, at the end of the last heating season, the filling of underground storage facilities turned out to be a record in their entire history - almost 60%. This is one and a half times more than the average for the past five years.
“The record gas balance in storage facilities is the result of the successful diversification of energy supplies, the efforts of citizens and businesses to reduce demand for gas and investments in renewable energy sources - the three main components of our REPowerEU plan,” said Kadri Simson, the European Commissioner for Energy in the former European Commission, in the spring.
Gas is a seasonal commodity, since in cold weather Europe actively heats with gas. Prices traditionally soar in autumn and winter and fall in spring and summer, so at the end of the heating season the EU pumps cheap gas into underground storage facilities for the next winter.
By the last heating season, the European Union had accumulated more than 100 billion cubic meters of gas, which covers about one-third of winter demand. This year it should be about the same. And demand will be determined by the cold weather.
Gas pumped underground reduces the risk of an energy crisis in Europe, despite the threat of stopping transit through Ukraine, which accounts for almost half of Russian gas exports to the EU. The gas pipeline passes through a station in the Russian Kursk region, recently captured by Ukrainian troops. In addition, the transit contract expires at the end of the year, and Ukraine is not going to renew it.
Gazprom began reducing gas supplies to Europe even before Russia's attack on Ukraine, and after the invasion, it put the EU on a starvation diet. In response, the European Commission approved an emergency gas saving plan called REPowerEU and set a target of filling underground gas storage facilities by 80% by November 1, and then 90% after Gazprom switched off Nord Stream in August 2022.
Last year, the target was reached by mid-August, and by early November, the storage facilities were already full.
This year, the pumping volumes are lower than last year, as pipeline supplies from Russia remained roughly the same, and LNG imports fell in line with prices in Europe, due to a recovery in demand from competitors in Asia and a reduction in supply due to supply disruptions from the United States.
However, the 90% target was finally reached last week. How did the EU do it?
First, Europe continued to reduce consumption, despite a recovery in industrial demand, suppressed by high gas prices over the past two years. The main role in the savings was played by the rapid growth of green energy - wind and solar, as well as a jump in electricity production at French nuclear power plants after the completion of large-scale repairs.
Secondly, the weather helped.
Of the three winters of the Russian gas war against Europe, the last two were record warm, and the last one was also windy. As a result, at the end of the last heating season, the filling of underground storage facilities turned out to be a record in their entire history - almost 60%. This is one and a half times more than the average for the past five years.
“The record gas balance in storage facilities is the result of the successful diversification of energy supplies, the efforts of citizens and businesses to reduce demand for gas and investments in renewable energy sources - the three main components of our REPowerEU plan,” said Kadri Simson, the European Commissioner for Energy in the former European Commission, in the spring.
Gas is a seasonal commodity, since in cold weather Europe actively heats with gas. Prices traditionally soar in autumn and winter and fall in spring and summer, so at the end of the heating season the EU pumps cheap gas into underground storage facilities for the next winter.
By the last heating season, the European Union had accumulated more than 100 billion cubic meters of gas, which covers about one-third of winter demand. This year it should be about the same. And demand will be determined by the cold weather.
