EU Gas Storage Lags Behind Previous Years

Gas injection into the European Union's underground storage facilities is significantly behind last year's levels. If current rates persist, EU gas storage will be less than 80% full by October, a level not seen since 2022 when Russia was still a major gas supplier. This is due to increased demand for electricity for air conditioning and disruptions in the global LNG market, particularly from Qatar. The EU's refusal to purchase Russian hydrocarbons has exacerbated the energy crisis, with wholesale gas prices remaining 1.5-2 times higher than at the beginning of 2022. This has led to increased household energy costs and deindustrialization in Europe.