European Gas Prices Jump as Heat Wave Boosts Cooling Demand
Shafaq News / European natural gas prices jumped with a heat wave scorching the western half of the region, boosting demand for cooling and pushing energy costs higher.
Temperatures in parts of the UK and France, including London and Paris, could rise to record levels Monday and Tuesday, according to forecaster Maxar. The amount of power needed for cooling next week is anticipated to be above the 10- and 30-year norm across the continent.
The heat wave -- a stark reminder of climate change -- is adding to Europe’s worst energy crunch in decades. Officials and energy traders are closely watching whether the Nord Stream pipeline from Russia will fully return to service later this week when it ends scheduled maintenance. Moscow has already curbed supplies to the continent amid tensions related to its invasion of Ukraine.
A turbine for Nord Stream was flown from a repair facility in Canada to Germany on Sunday, Kommersant reported, citing unidentified people. Gazprom PJSC previously requested documents to allow the return the turbine.
Dutch front-month futures rose as much as 5.6% to 168.50 euros per megawatt-hour, after losing 8.8% on Friday.
(Bloomberg)
