Europe's gas prices have fallen dramatically for a number of reasons, including milder temperatures and lower import demand from China, among others. But is the worst over yet? DW's Jo Harper asks the experts.
surge and returning to being a demand player — all of which would leave Europe competing for what's available with one of the largest buyers in the market," said Copson.The weather will play a crucial role."For now, it looks good, but the International Energy Agency took into account another cold snap at the end of March in its winter outlook.
The wind has been helpful lately for renewable energy, and in Belgium the Tihange 1 nuclear reactor is back online. But this, too, can quickly change."The underlying structural reasons for the high prices remain in force. Theis far from over, the gas supply from Russia has been and remains decimated, and the French nuclear park is still largely in the doldrums," said Claeys.
Goldman Sachs expects storage facilities to remain at least 20% full by the end of March 2023, while energy research consultancy Wood Mackenzie said an unusually cold winter in the Northern Hemisphere could reduce European gas inventories to 4% of total capacity by March. EU members supported the price cap as a way to limit Russia's influence over the EU gas market. Some countries are spending billions of euros to limit the impact of rising energy prices on households.
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