Gas rationing might become a reality in Germany
following Europe's policies against Russia, countries face economic strains leading up to limited supplies. Countries that were once dependent on Russian gas must now seek alternatives but until then, they might have to ration supplies.
-
Astora natural gas depot Rehden, Germany (Reuters)
Vice-Chancellor and Economy Minister Robert Habeck said on Friday that Germany will face difficult fall and winter seasons as energy supplies become limited.
Habeck presented a new energy-saving initiative in Berlin and stated that "As for supporting the people in need, I made clear what lies ahead of us and what is already partly a reality but has not yet definitively become true. We need to be clear that we have a very tough fall and a very tough winter ahead of us. Two legislation packages of relief measures that we as a government have created have the answers."
In May, Fatih Birol, International Energy Agency Executive Director suggested that the efficiency of energy supply used must be improved or Europe in general, and Russian energy-dependent countries specifically, are likely to face 'very tough' fall and winter.
Birol's statement come after Russia stopped supplying Gazprom Germania the German subsidiary of Gazprom. The decision came after Berlin put the company under trustee management following the Ukraine war.
New @IEA analysis shows that a major global push on efficiency could save as much energy per year by 2030 as China’s total annual energy demand
— Fatih Birol (@fbirol) June 8, 2022
This would include 4 times the amount of gas the EU imported from Russia last year & 30 mb/d of oil
More ⬇️ https://t.co/1nQUOGv4uj
As a result, the Bundesnetzagentur energy regulator, acting as a trustee, had bought replacement gas to fulfill supply contracts with German municipal utilities and regional suppliers.
Read more: Germany to face high costs as Russia imposes sanctions
The Economic ministry spokesperson estimated that an extra 10 million cubic meters per day are required to fulfill the needs of the market. The spokesperson further added, in an email response, that "the quantities are procured on the market and at market prices. No information can be given on the exact amounts due to commercial confidentiality."
This comes after the sixth package of sanctions was approved by the EU. Kremlin spokesperson Dmitry Peskov had said his country would not deliver gas to Europe for free, in a reiteration of President Vladimir Putin's that Russia would not accept anything but rubles for gas deliveries to "unfriendly countries".
