The price of European natural gas has fallen below 30 euros per megawatt hour (MWh) for the first time since June 2021. The leading one-month delivery TTF futures contract fell to EUR 29.75 per MWh in the afternoon. Gas prices thus continue the downward trend that has been going on for months.
Due to Russia’s war against Ukraine, natural gas prices had risen dramatically in the summer of last year. In August 2022, prices of more than 300 euros were paid at the peak. Heavy dependence on Russian gas had fueled fears of an energy crisis.
Natural gas storage well stocked
However, prices have dropped significantly since then. After a mild winter, the natural gas storage facilities are well filled. In addition, sufficient liquefied natural gas (LNG) could be imported from other countries. The weakening economic development is also depressing demand.
The price of gas is also currently well below the level just before the outbreak of war in February 2022. For 2021, however, it has consistently cost significantly less than 30 euros.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
