Cold winter threatens Europe with an energy crisis

Europe is preparing for a cold winter, which could be the coldest since 2022. This circumstance threatens to increase energy prices, as gas reserves on the continent are being depleted faster than usual.

The European Center for Medium-term Weather Forecasts predicts that the air temperature from now to March will be mostly below the level of the last two years. This is likely to lead to record heating demand since the winter of 2022, as predicted by Maxar Technologies Inc. Nevertheless, forecasters assure that, as in the last two winters, the average temperature will still remain above normal.

Despite this, Europe remains vulnerable to weather disasters. The cold winter will put additional pressure on already high gas and electricity prices. This may coincide with the cessation of gas supplies through Ukraine from January 1, when temperatures usually drop to critical values. 

This month, frosty weather and weak winds have already led to a larger consumption of gas from storage facilities, raising concerns about the end of winter and the possibility of restocking next summer. At the moment, natural gas futures are holding at $3.35 per million BTU.