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European gas prices hit highest levels since January 2023
European natural gas prices have surged, exceeding 66 euros per megawatt-hour, marking an increase of over 130% since the beginning of the year. This price rally is driven by a combination of geopolitical tensions between the United States and Iran, which threaten LNG supplies from the Gulf region, and extreme weather conditions.
A significant heatwave across Europe has increased electricity demand for cooling while simultaneously reducing the output of hydropower and nuclear power plants. This forces gas-fired power plants to meet the increased demand, complicating efforts to refill gas reserves for the upcoming winter.
Storage levels are a major concern. European gas storage currently stands at 62%, and in Germany, levels are reported to be at their lowest since data collection began in 2011. While the European Commission has stated there is no immediate danger to the gas supply, the situation remains tense as the continent prepares for the heating season.
Entities
ENTSO-E · Equinor · European Central Bank · European Commission · Gas Infrastructure Europe · Iran
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 3 SOURCES] A heatwave in Europe is increasing electricity demand for cooling while reducing hydropower and nuclear energy production. www.agrarwelt.com · investitor.me · narod.hr
- [● 2 SOURCES] Gas prices in Europe have increased by more than 130% since the start of the year. www.agrarwelt.com · investitor.me
- [● 2 SOURCES] European gas prices have reached a new high, exceeding 66 euros per megawatt-hour. www.agrarwelt.com · investitor.me
- [○ 1 SOURCE] Geopolitical tensions between the US and Iran are contributing to the rise in gas prices. www.agrarwelt.com
- [○ 1 SOURCE] European gas storage levels are currently at 62%. www.agrarwelt.com
- [○ 1 SOURCE] German gas storage levels are at their lowest since data collection began in 2011. www.finanznachrichten.de