Warm Weather and Wind Power Generation favor the Gas Situation in Europe

European countries continue to draw blue fuel from underground natural gas (GNG) storages at minimal rates, and wind power generation in the region exceeds 30% of the total, reaching one of the highest levels since 2022, data from Gas Infrastructure Europe shows and the European Wind Energy Association.

On the morning of January 8, gas storage in Europe was 83.18% full, down 0.01 percentage points from the previous day, according to the Gas Infrastructure Europe website. The total amount of gas in storage in the region is almost 90.5 billion cubic meters, while at the beginning of January last year it was about 35 billion cubic meters less.

The low rate of withdrawal from gas storage is linked to the return of warm weather in Europe and increased wind power production.

Bloomberg noted that the warmest January in recent years is expected in the region. Data from Wind Europe showed that on Sunday electricity production from wind farms in the European Union made up 31.6% of total production, one of the highest percentages since 2022 and twice the annual average of about 15%.

Natural gas prices in Europe fell more than 30% year-on-year to US$760 per thousand cubic meters in the past trading week on the back of warm weather, high output from wind generators and low withdrawal levels from LNG.