Bloc members who have been aggressively conserving energy for later use are now witnessing their first decline in storage levels.
The most recent statistics from Gas Infrastructure Europe, as reported by Bloomberg, showed that the EU’s gas storage levels declined this week for the first time in two months.
Gasoline futures soared to their highest weekly gains since late February as a result of the decline, which is considered a symptom of a developing energy crisis in Europe.
According to Warren Patterson, the head of commodities strategy at ING Groep, “clearly this should not be happening in the injection season.” The market will be disturbed by this, which will probably keep prices supported.
The fall in reserves, which are frequently used during the busiest winter months, coincides with gas supply restrictions to clients in Italy, Germany, France, and Austria that Russian energy giant Gazprom announced over the past two days.
After German equipment provider Siemens Energy failed to timely return gas pumping units to its compressor station, the Saint Petersburg company announced on Tuesday that it was decreasing gas supply via the Nord Stream pipeline.
For refusing to accept the gas-for-rubles payment plan proposed by Moscow in response to the broad sanctions imposed by many Western states and others, the Russian company has also stopped supplying gas to Finland, Poland, Bulgaria, Denmark’s Orsted, the Dutch company GasTerra, and energy giant Shell for its German contracts.
Russian gas exports through the Nord Stream pipeline reportedly fell by 60% this week, which caused prices to rise.