Gas Price Plunge Brings Relief to Europe After Energy Panic
- Prices may keep falling over the summer to €20 a megawatt-hour
- Stockpiles above average, undermining Putin’s energy leverage
A gas receiving compressor station in Lubmin, Germany.
Photographer: Krisztian Bocsi/BloombergThis article is for subscribers only.
European gas prices have plunged to the lowest since mid-2021, when Russia was just beginning to squeeze supplies before its invasion of Ukraine, helping to reverse a surge in inflation and bring relief to consumers.
The slump — gas futures are down by two-thirds already this year – hasn’t just eased the pressure on household budgets. It also undermines one of the biggest bargaining chips held by President Vladimir Putin — the ability to squeeze the region’s gas supplies.