{"id":59721,"date":"2021-10-07T07:25:50","date_gmt":"2021-10-07T12:25:50","guid":{"rendered":"https:\/\/olduvai.ca\/?p=59721"},"modified":"2021-10-07T07:25:50","modified_gmt":"2021-10-07T12:25:50","slug":"europes-gas-prices-surge-to-avert-risk-of-winter-shortage","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=59721","title":{"rendered":"Europe&#8217;s Gas Prices Surge To Avert Risk Of Winter Shortage"},"content":{"rendered":"<header class=\"ArticleFull_header__11o5_\">\n<h3 class=\"ArticleFull_title__2cUI6\"><a href=\"https:\/\/www.zerohedge.com\/markets\/europes-gas-prices-surge-avert-risk-winter-shortage\">Europe&#8217;s Gas Prices Surge To Avert Risk Of Winter Shortage<\/a><\/h3>\n<\/header>\n<div class=\"NodeContent_mainContent__38L44\">\n<div class=\"NodeContent_body__2clki NodeBody_container__1M6aJ\">\n<p>Europe\u2019s gas and electricity prices are setting\u00a0<em><strong>record highs<\/strong><\/em>\u00a0on a daily basis and\u00a0<em><strong>rising at an accelerating rate<\/strong><\/em>\u00a0as the market tries to destroy enough demand to protect depleted inventories ahead of the winter.\u00a0 Gas storage sites in the European Union and United Kingdom are currently just under 76% full, compared with a ten-year seasonal average of almost 90%, according to data compiled by Gas Infrastructure Europe.<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/nat%20gas%20storage%201.jpg?itok=zIedTUCP\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/nat%20gas%20storage%201.jpg?itok=zIedTUCP\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/nat%20gas%20storage%201.jpg?itok=zIedTUCP\" alt=\"\" width=\"500\" height=\"376\" data-entity-type=\"file\" data-entity-uuid=\"90f0a17c-7f4b-4425-a2f1-62fa4bb7354f\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<div class=\"Advert_desktop__1J5vD Advert_tablet__3QEBr Advert_mobile__1rlLc Advert_placement__1I4yb Advert_align__N0_fw\">\n<aside id=\"in-content-video\" class=\"Advert_verticallySpaced__wnPy3\" data-google-query-id=\"CKemt6yYuPMCFZODgwgdIOMJkA\">\n<div id=\"google_ads_iframe_\/21841313772,21778456762\/zerohedge\/in_content_video_0__container__\"><\/div>\n<\/aside>\n<\/div>\n<p>In the last decade, storage has emptied by an average of 57 percentage points over winter, but depletion is highly variable, ranging from a minimum of 38 points in 2013\/14 to a maximum of 71 points in 2017\/18.<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/nat%20gas%20range.jpg?itok=6QjmfOLB\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/nat%20gas%20range.jpg?itok=6QjmfOLB\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/nat%20gas%20range.jpg?itok=6QjmfOLB\" alt=\"\" width=\"500\" height=\"375\" data-entity-type=\"file\" data-entity-uuid=\"a957ffb0-a891-4241-a99d-3c670b0cfcc2\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>If this winter sees an average drawdown, storage sites would be reduced to just 19% full by next spring, the second lowest for a decade, leaving the region with a persistent gas shortage next year.<\/p>\n<p>If the winter sees a moderately strong draw, in the 75th percentile, storage would be reduced by 68 percentage points to a record low of just 8% next spring, increasing the probability supply will actually run out in some areas.<\/p>\n<p>If the winter sees a maximum draw, similar to 2017\/18, storage would be almost exhausted by next spring, making local shortages almost inevitable.<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/nat%20gas%20storage%20reuters.jpg?itok=f_blpWO_\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/nat%20gas%20storage%20reuters.jpg?itok=f_blpWO_\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/nat%20gas%20storage%20reuters.jpg?itok=f_blpWO_\" alt=\"\" width=\"500\" height=\"376\" data-entity-type=\"file\" data-entity-uuid=\"77b5503e-79c0-4bdf-a9c6-b08db129e992\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<p>Futures prices are rising to avert this threat by rationing demand now to conserve inventories and reduce the risk of running out later in the winter.<\/p>\n<div class=\"Advert_tablet__3QEBr Advert_mobile__1rlLc Advert_placement__1I4yb Advert_align__N0_fw\">\n<aside id=\"in-content-1\" class=\"Advert_centered__2tRj9 Advert_verticallySpaced__wnPy3\" data-google-query-id=\"COTTwdWYuPMCFQ-Agwgdwe0PUQ\">\n<div id=\"google_ads_iframe_\/21841313772,21778456762\/zerohedge\/in_content_1_0__container__\"><\/div>\n<\/aside>\n<\/div>\n<p><em>Sharply rising prices are the reason wholesale markets (such as European gas) rarely run into physical shortages, unlike retail markets (U.K. gasoline and diesel) where price rises are typically more limited for commercial and political reasons<\/em>.<\/p>\n<p>Europe\u2019s gas and electricity prices are likely to remain elevated until there is clear evidence that they have begun to reduce demand and conserve inventories.<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/s3\/files\/inline-images\/dutch%20ttf%2010.6.jpg?itok=WUmsGIZK\" data-image-external-href=\"\" data-image-href=\"\/s3\/files\/inline-images\/dutch%20ttf%2010.6.jpg?itok=WUmsGIZK\" data-link-option=\"0\"><picture><img loading=\"lazy\" decoding=\"async\" class=\"inline-images image-style-inline-images\" src=\"https:\/\/assets.zerohedge.com\/s3fs-public\/styles\/inline_image_mobile\/public\/inline-images\/dutch%20ttf%2010.6.jpg?itok=WUmsGIZK\" alt=\"\" width=\"500\" height=\"378\" data-entity-type=\"file\" data-entity-uuid=\"39b937db-6048-429e-8b76-bb6ac103c315\" data-responsive-image-style=\"inline_images\" \/><\/picture><\/a><\/p>\n<div class=\"Advert_tablet__3QEBr Advert_mobile__1rlLc Advert_placement__1I4yb Advert_align__N0_fw\">\n<aside id=\"in-content-2\" class=\"Advert_centered__2tRj9 Advert_verticallySpaced__wnPy3\" data-google-query-id=\"CKmYv66luPMCFYLThgodthcJKw\">\n<div id=\"google_ads_iframe_\/21841313772,21778456762\/zerohedge\/in_content_2_0__container__\">\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n<\/aside>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Europe&#8217;s Gas Prices Surge To Avert Risk Of Winter Shortage Europe\u2019s gas and electricity prices are setting\u00a0record highs\u00a0on a daily basis and\u00a0rising at an accelerating rate\u00a0as the market tries to destroy enough demand to protect depleted inventories ahead of the winter.\u00a0 Gas storage sites in the European Union and United Kingdom are currently just under [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2,3],"tags":[281,1614,20556,554,31842,683,4318],"class_list":["post-59721","post","type-post","status-publish","format-standard","hentry","category-economics","category-energy-2","tag-europe","tag-gas-prices","tag-john-kemp","tag-natural-gas","tag-natural-gas-shortages","tag-reuters","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/59721","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=59721"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/59721\/revisions"}],"predecessor-version":[{"id":59722,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/59721\/revisions\/59722"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=59721"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=59721"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=59721"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}