The European Union will have to pay a heavy price to fill its storage facilities with natural gas in anticipation of next winter, according to Bloomberg.
At current market prices, it would cost it 62 billion euros ($ 68.2 billion) to achieve 80% fullness, according to an analysis by BFY Group. This is the level set as a minimum by the European Commission in view of the winter of 2022-2023.
Russia covers about 40% of EU consumption with its gas, according to the International Energy Agency (IEA), with the 27-nation bloc racing to reduce its dependence on Moscow since the last invaded Ukraine last month.
In the long run, the EU wants to rely heavily on energy, mainly in the fast-growing Renewable Energy (RES) sector, but does not have time to rely on heating its citizens’ homes next winter.
The Commission on Wednesday approved a draft directive requiring member states to fill storage facilities to 80% of capacity for next winter and 90% for years to come.
The analysis of the BFY Group states that only the filling of the gas reserves of Germany will cost 13.9 billion euros for the coming winter. More than 1 billion euros may have to be paid to Russian state giant Gazprom in order to store gas at its facilities on EU soil.
Source: Capital
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