Natural gas prices hit a record Thursday for the second day in a row as restrictions on oil and gas were increasingly treated as a possibility on the eighth day of the war – whether through Western sanctions or Russian retaliation.
That could mean even more pain to people’s wallets: Energy prices have been high for months because of low supplies, driving up the cost of everything from utility bills to groceries as businesses pass along their costs to customers.
The plan could potentially cut Europe’s reliance on Russian gas imports by two-thirds by the end of the year through a mixture of buying gas from other countries and ramping up energy efficiency measures.
Those steps combined with more wind and solar, and faster permitting for large-scale clean energy projects, could help the E.U. end its imports of Russian fossil fuels by 2030, officials said.
Russia supplies Europe with about a quarter of its oil and more than 40 percent of the gas it uses to heat homes and power industries. While it has continued to deliver gas supplies, albeit, at far lower volumes than usual, officials worry that Russia could shut off the taps at any moment in retaliation for E.U. sanctions over Ukraine.
“We simply cannot rely on a supplier who explicitly threatens us,” European Commission President Ursula von der Leyen said in a statement. “We need to act now to mitigate the impact of rising energy prices, diversify our gas supply for next winter, and accelerate the clean energy transition.”
Germany is spending 1.5 billion euros ($1.66 billion) to buy more LNG. Chancellor Olaf Scholz on Sunday proposed building two LNG import terminals, days after blocking the already-completed Nord Stream 2 gas pipeline from Russia to Europe.
European Union countries are working on setting up a strategic gas reserve and establishing storage requirements. Officials are urging countries to sign agreements to share gas in emergencies.
The EU’s executive commission is set to unveil steps next week that governments can take. The Paris-based International Energy Agency said Thursday that Russian gas imports could be cut by one-third this year through steps including letting existing gas contracts with Russia expire, finding new supplies from partners such as Norway and Azerbaijan, imposing minimum storage requirements, maximizing the use of remaining nuclear plants and offering cash support for vulnerable electricity customers.
European leaders are racking up the miles trying to find alternative gas suppliers. Qatar, a Gulf nation that’s one of the world’s leading gas suppliers, has been fielding calls from “everyone in Europe,” its energy minister told CNN.
We have always emphasized the importance of having a good website for your company because it can act as your best tool for marketing and sales. A poorly designed website can repulse people from your business and can cause you to lose customers before you even have them. Get in touch with HyperEffects to work on creating, enhancing, and making the website of your company more user-friendly.