Commodities
EU Sees ‘Negligible’ Gas Impact From End of Ukraine Transit Deal
- Commission seeks to reassure markets on supply concerns
- Europe gas futures recently hit their highest levels in a year
A natural gas line runs through the country side outside Donetsk, Ukraine.
Photographer: Andrew Burton/Getty ImagesThis article is for subscribers only.
The end of Russian natural gas flows through Ukraine will have a “negligible” impact on European prices, according to an assessment carried out by the European Commission.
There’s just roughly three weeks until a transit deal expires at the end of the year, cutting off the flows of fuel used for power generation and heating. Still, the termination of the agreement between Ukraine and Russia has already been priced into European gas markets, and the region will be able to find alternative supplies, according to an assessment by the EU’s executive branch seen by Bloomberg News. The analysis was designed to reassure member states and markets ahead of the expiration.