Energy crisis in Europe: 50 million people at risk of being unable to heat their homes
Natural gas prices reaching a 4-year high and declining stocks are further exacerbating the situation for the 50 million people in Europe already struggling with heating issues.
The European Union is entering a difficult winter period as natural gas prices exceed 100 euros per megawatt-hour. EU Commissioner for Energy Dan Jorgensen stated that even under normal conditions, approximately 50 million Europeans are unable to heat their homes sufficiently, and this number is expected to rise due to increasing energy costs.
EU energy ministers meeting in Luxembourg evaluated the impact of rising costs on households and industry. Prices in Europe's benchmark natural gas market, TTF, crossed the 100-euro threshold for the first time since December 2022. The occupancy rate of gas storage facilities in the region has fallen to 75 percent from 83 percent last year.
Shipment issues in the Strait of Hormuz and the Red Sea, along with disruptions in Qatar's exports, have been influential in the price increases. Efforts by Asian countries, particularly China, to increase stocks have intensified competition for LNG with Europe. Assessment: If current supply issues in energy markets persist and the winter is severe, it is projected that natural gas prices could reach the 130-euro level by early 2027.
Sources
- sabah.com.tr · Link