The EU’s gas storage regulation requires EU member states with gas storage facilities to fill storage to at least 90% of capacity by the 1st November each year. Most countries have achieved this early, and the EU as a whole reached a state of 90% of storage capacity on the 21st August 2024 – 11 weeks ahead of target. Denmark and Latvia are the only obliged countries still yet to meet this target.
Consecutive mild winters and the storage mandates have seen storage levels remain above the 5-year average since Nov 2022. Potential risks remain this winter, as laid out in our winter outlook:
- Uncertain Russian pipeline imports, which could fall 5 bcm winter-on-winter following the ceasing of the Ukrainian transit agreement
- A normal European or Asian winter would increase heating demand. Weather driven risk is also exaggerated by growing exposure to wind/solar load factors
- Little total LNG supply growth winter on winter, meaning Europe will need to continue to compete with a growing Asian market for limited available flex volumes.
In our quarterly Global Gas Subscription Service we have a particular focus currently on analysis of the impacts of market transition through 2024-27 as the next LNG supply wave is absorbed. If you would like a sample copy of one of our reports please reach out to Joshua Belo-Osagie (joshua.belo.osagie@timera-energy.com).
Join our upcoming LNG webinar “Absorbing the supply wave”
Topic: “Absorbing the supply wave” – how demand and supply side flex mechanisms will balance the global LNG market
Time & access: Weds 27th Nov 09:00 GMT (10:00 CET, 17:00 SGT)
Registration: Pre-registration required (access is free); webinar registration link – register here