Ukraine Invasion a Turning Point for Gas in Europe

Deutsche Welle:

In the first year of it’s full-scale invasion of Ukraine, Moscow tried to capitalize on concerns that energy would become scarce in Europe during the cold winter months. The Russians even made a short video to feed these fears, featuring tales of how Germans would freeze without supplies from Russia’s Gazprom.

The Russian state-owned company halted all gas deliveries to Germany in late August 2022. But now, according to a recent study commissioned by the German Association of Energy and Water Industries (BDEW), only 14% of Germans surveyed believe the upcoming winter could bring supply shortages.

This autumn, 64% of Germans believe they will get through the winter without any major problems — even if the supply situation remains patchy. In fact, 18% believe the situation is quite comfortable and are convinced that Germany will get through the winter without any problems at all. Only 4% were indecisive.

That means “four out of five participants surveyed believed Germany was well prepared for the upcoming winter,” the BDEW reported.

Guardian:

The Ukraine crisis has marked a turning point for Europe’s gas consumption, which is expected to fall again this year as homes and firms embrace efficiency upgrades and heat pumps, according to the global energy watchdog.

A report from the International Energy Agency found that the continent’s developed economies reduced their gas use by 15% in 2022 after Russia cut off flows after its invasion.

European homes and businesses reduced their gas demand by a further 9% in the first three-quarters of this year, which could lead to a steady reduction in gas demand in the coming years, the IEA said.

It found that about 40% of the savings were the result of the mild weather last winter, but the majority were driven by a surge in demand for electric heat pumps and efficiency improvements.

The IEA expects the same trend to emerge in the US after the Biden administration included energy efficiency upgrades in its $369bn (£291bn) green stimulus package.

US homes and businesses are expected to cut their gas use by about 1% a year between 2022 and 2026, despite access to ample domestic reserves, as a result of better efficiency gains and the roll-out of heat pumps to help reduce carbon emissions caused by gas heating.

The IEA highlighted the need for better energy efficiency if global governments hoped to meet their climate targets days before the start of the Cop28 climate summit in the United Arab Emirates, which begins on Thursday.

Fatih Birol, the IEA’s executive director, said: “The world’s climate ambitions hinge on our ability to make the global energy system much more efficient. If governments want to keep the 1.5C goal within reach while supporting energy security, doubling energy efficiency progress this decade is critical.

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