Gas in Europe is again more expensive than $1,000 per thousand cubic meters after the refusal of the Netherlands and Denmark from supplies from Russia

09:07 02.06.2022 11251

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 The spot price of gas in Europe has exceeded $1,000 per thousand cubic meters amid the failed generation of wind farms, as well as the refusal of the Netherlands and Denmark from the new payment system for Russian gas and the cessation of its supply to these buyers, Interfax reports.

 The nearest (already July) futures for the TTF index on the ICE Futures exchange on Tuesday morning rose to $1,046 per thousand cubic meters.  The spot gas price in the EU has remained below $1,000 since May 7, but the decisions of Denmark and the Netherlands, as well as the EU oil embargo on Russian oil, gave quotes new growth grounds.

 The situation with the generation of electricity from renewable sources in Europe deteriorated sharply on Monday.  On May 30, the capacity of wind turbines provided only 5.6% of the energy balance in the EU – this is the minimum value since the end of December last year, according to data from the WindEurope association.

 It is predicted that this week the belated spring cold will finally pass, sunny and low-wind weather will set in.  This will lead to a reduction in renewable electricity generation and an increase in the use of gas, as well as an increase in energy consumption for air conditioning.

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