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HomeLatest NewsBrussels proposes extending the gas demand cut until March 2024

Brussels proposes extending the gas demand cut until March 2024

Date: June 5, 2023 Time: 06:02:04

The European Commission (EC) has proposed this Monday to extend by one year, until March 2024, the voluntary reduction in gas demand of 15% that members have applied since last summer as an emergency measure in the face of the price crisis. “Markets may remain tense in the coming months” and prolonging savings “will ensure that we are prepared for next winter,” European Energy Commissioner Kadri Simson said in a statement.

Between August and January 2023, according to the latest data handled by the Community Executive, the EU countries reduced their gas consumption by 19.2% on average, that is, above the 15% that had been set as a goal . The largest cuts were registered in Lithuania (-40.5%) and Sweden (-40.2%), while the smallest reduction was registered in Ireland (-0.3%).

Among the countries with large populations in the EU, the one that reduced its consumption the most was Germany (-19.4%), followed by Italy (-18.6%), France (-17.1%), Poland (-14 .9%) and Spain (-13.7%). Brussels understands that continuing to attempt gas consumption on average by 15% compared to normal activity levels will help both reduce energy security and reduce price volatility. “It has contributed significantly to alleviating the pressure of Russian supply cuts,” they point out from the European Commission, which estimates the cut at 42,000 million cubic meters of gas (42 bcm).

However, the Community Executive has not specified how much of this saving corresponds to lower voluntary consumption and how much to destruction of demand after the closure or stoppages of energy-intensive industries due to high prices. 90% in November.

Currently, and after a particularly warm winter in Europe, deposits are at 55.7%, above the 40% threshold that was considered critical at the end of March to be able to recharge without hardships and much higher than 25.66%. a year ago, a few weeks after Russia launched to invade Ukraine. In addition to prolonging the voluntary measure, Brussels also wants Member States to communicate to the Commission their monthly savings data, instead of every two months, and with information by sector.

The Commission’s proposal will be processed as an emergency procedure, that is, it may be adopted among the twenty-seven Member States without the need to negotiate with the European Parliament, and it will be debated in the Council of Energy Ministers on March 28.

Puck Henry
Puck Henry
Puck Henry is an editor for ePrimefeed covering all types of news.

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