Brussels (Brussels Morning Newspaper) – Countries in the European Union are contemplating regulations that would allow them to deviate by 10 percentage points from the bloc’s mandate to fill gas storage to 90% before winter, EU diplomats revealed, as Reuters reported.
The European Union’s gas storage rules were raised in 2022 to ensure bloc countries had a buffer of stored fuel during winter after Russia slashed deliveries following its invasion of Ukraine. However, some EU nations are concerned that the binding storage-filling targets raise gas prices because they signal to market players when European customers will need large volumes.
The existing regulations mandate a requirement to reach 90% storage capacity by November 1, with this deadline set to expire at the end of the year.
How will the EU adjust its gas storage regulations?
EU nations are in talks to extend the targets by an additional two years, pushing the deadline to 2027. They are also considering adjustments that would ease the targets in 2026 and 2027, and potentially in 2025, provided they reach an agreement swiftly.
Governments such as Germany and the Netherlands have cautioned that the EU’s storage filling mandates are driving gas prices higher. This situation signals to the market that European buyers must purchase, resulting in significant expenses for countries with substantial storage caverns.
What does a 10% deviation mean for EU targets?
During a meeting, diplomats from EU countries expressed their backing for a proposal permitting nations to deviate by 10 percentage points from the November filling target of 90% in the event of “unfavourable” market conditions, according to EU diplomats who spoke to Reuters.
With the suggested adjustments, governments can achieve the 90% target anytime from October 1 to December 1. According to diplomats, Germany and France were among those advocating for a 10 percentage point deviation.
Member states have dismissed the European Commission‘s proposal to prolong current binding targets unchanged for an additional two years.
Are EU governments willing to ease gas storage rules?
During the meeting, countries reached an agreement that the changes might take effect for this year’s November storage target, provided the rules are finalised and published beforehand, according to EU diplomats.
EU governments plan to finalise their stance on the regulations, after which they will negotiate the final law with the European Parliament. Countries intend to make the EU’s binding intermediate filling targets voluntary for the months leading up to November, following the most recent negotiating document released by Poland, which oversees the negotiations in its role as the EU’s rotating presidency.
