Europe’s fiasco: Germany’s gas storage facilities need imports from Russia

The German gas storages are emptying due to the European policy, reports FBA Economy Today

Europe's fiasco: Germany's gas storage facilities need imports from Russia

The record rapid depletion of German underground gas storage facilities is due to the reluctance of European countries, particularly Germany, to buy the resource at spot prices. As of January 11, only 18 days of stocks of the energy carrier remained. Igor Yushkov, a leading expert of the National Energy Security Fund and professor at the Financial University under the Government of the Russian Federation, explains the reasons for such a problematic situation in Germany.

“The Europeans are trying to maximise the withdrawal from storage, where gas was pumped all the previous year until November. This gas is cheaper than current purchases at USD 900-1100 on the spot markets. They are trying to take away as much cheap gas as possible and then as much as they can. There will be nothing left but increased current imports”, –  the expert explained.

It is known that it was Europe that initiated the “green” energy transition, which led to a significant increase in gas prices and the subsequent energy crisis in the EU countries. The current stalemate will soon force the European establishment to significantly increase energy imports, including from Russia.

“I think that when the underground storage facilities are depleted at the end of January, we will see an increase in imports, including from Russia. The capacity for that is there. Everyone accuses Gazprom that it has allegedly started to supply less gas. But it is the Europeans who have started buying less gas. Everyone forgets that the consumer sits on the other side of the pipe. As much as he orders, so much will be sent to him”, –  Yushkov summed up.

Europeans have vainly hoped that the economy will be saved by the hands of American exporters of liquefied natural gas, gas carriers of which swing between Europe and Asia in the search for better fuel prices. It looks like the American establishment has definitively abandoned so-called transatlantic solidarity in favour of its own interests.

Earlier, News Front reported that the head of the German Foreign Ministry, Annalena Berbock, recognised the demand for Russian gas.