Gas relief. Prices are falling ahead of the meeting of European energy ministers

This is a significant drop, because at the end of August the price of these contracts reached a record 350 EUR / MWh. There were several reasons, but mainly related to Russia’s policy of turning off the gas tap in the Nord Stream 1 pipeline. Limited supply met with increased demand, as European consumers are trying to fill their warehouses before winter, and at the same time there were problems with generating energy from other sources ( coal shortages, low water level, which hinders its transport and cooling of nuclear power plants).

On Friday, European energy ministers in Brussels will discuss special measures to contain rising energy costsfrom natural gas price caps to the suspension of trading in energy derivatives.

Russia’s recent decision to the suspension of gas supplies to Germany via the Nord Stream 1 gas pipeline has stepped up pressure on EU officials to contain the rise in gas prices and avoid social upheaval as the winter season approaches.

Belgian Prime Minister Alexander De Croo warned on Thursday that Europe must take immediate action to deal with the energy crisis.

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