With a view to low gas storage levels, the Federal Ministry of Economics and the Federal Network Agency see industry as having a duty. Currently the storage is only slightly to half full. The filling levels are currently still very low. “We are monitoring the situation closely, including in the geopolitical context, and are calling on retailers to stock up,” said a spokeswoman for the Ministry of Economic Affairs.
The President of the Federal Network Agency, Klaus Müller, also described the current status as unsatisfactory. “50 days later than last year, the German gas storage facilities managed to fill 50 percent,” he wrote on the X platform. It is important that the gas traders fulfill their responsibility towards their customers for the winter, emphasized Müller.
Iran war keeps prices high
Typically, traders buy gas in the summer when it is cheap and sell it again in the winter. However, purchasing is currently not very attractive. Hardly any ships and therefore little oil and gas can still get through the blocked Strait of Hormuz. This leads to comparatively high prices - even in summer.
According to legal requirements, German gas storage facilities should actually be 80 percent full by November 1st - with a few specified exceptions. However, we are currently still a long way from this goal. This is also what the industry association Association of Gas Transmission System Operators (FNB-Gas) thinks. The target can hardly be achieved, "even with storage of up to 1.2 TWh per day - the highest value ever observed on the market." Storage is currently significantly lower.
Gas from various sources
There is probably no need to fear a supply crisis like 2022. The situation is now different. Germany now sources gas from several sources, explains Minister Katherina Reiche. “Almost half of our gas needs come from Norway,” says a spokeswoman. “We also get pipeline gas from France and Belgium.” For this purpose, liquefied natural gas (LNG) is imported via the German terminals, most of which comes from the USA.
The Federal Network Agency writes on its website that the German gas supply is stable and security of supply is guaranteed. She argues that there is enough gas on the world market and that there are import opportunities.
“Poker with a secure supply”
The left-wing faction makes serious accusations against Minister Reiche. Energy policy spokesman Jörg Cezanne told the Rheinische Post: "In such an uncertain world market situation, relying on a mild winter or functioning LNG markets so that the half-empty storage facilities are sufficient is a gamble with the secure supply of the economy and the population."
The Green Party politician Michael Kellner, formerly responsible for natural gas as State Secretary under Robert Habeck, also warns: "Last year we had a case where an LNG terminal was frozen because the Baltic Sea was frozen over. Then an icebreaker was sent there. The icebreaker broke down. The terminal was closed for several, I think two or three weeks. And anything like that can happen."
If the levels remain so low and a long and hard winter follows, things could get tight, experts believe. Looking at the cold winter of 2010, gas storage operator Juraj Papcun says: "In a winter as cold as that one, we would probably have problems with current fillings. If it were an average winter, then it is quite possible that we could get through the winter with the current fillings."
And what does Germany do if there isn't enough gas? In such a case, it could become necessary to purchase additional gas - at higher prices.
