The gas stores are as empty as rarely. State requirements stipulate that the memory will be filled again in summer. But then of all people, natural gas is now particularly expensive.
Germany's gas storage facility are currently only just under a third filled. It is normal that a lot of gas is used during a cold winter. But the current filling stands are as low as it is rarely before in a spring. Exactly a year ago, more than twice as much gas was saved. Nevertheless, politics and energy sectors are relaxed. A state management system intervenes in the market.
After Russia's attack on Ukraine, Europe started boycotting Russian gas deliveries three years ago. Germany had made itself particularly dependent on Russian gas deliveries due to pipeline buildings (“north stream”). In addition, the German metal and chemical industry needs a lot of gas for its machines and aggregates. The concern was great to have to sit in the cold.
State stock
Germany has almost a fifth of the EU capacities to store gas and is therefore the country with the largest distance. After the outbreak of war and sudden scarcity, the German government and the EU Commission created a storage system. The state stipulates when the memory must reach which filling levels.
The management overrides market mechanisms. It is a billion dollar business. It is financed by a gas storage levy that pays all gas customers. It started three years ago with 59 cents per megawatt hour (1,000 kilowatt hours) and gradually was punished at 2.99 euros.
Absurd Price development
As an investigation by economist Axel Ockenfels and two economists from the consulting company Frontier Economics shows, gas is now often more expensive in summer than in winter. This is a new and market -economy development, because in winter a lot of gas is needed for heating and hot water, which is why the wholesale prices were once high. The natural gas that flocked through the pipelines in summer found only difficult buyers, which is why the wholesale prices were low. It was worth buying cheap in summer for operators of gas ponders and selling expensive in winter.
Recently, the state is buying the necessary gas quantities in summer. He does not do this according to the market situation, but according to the regulations. For this he uses private gas stores. Their operators get money from the state. Gas importers and gas dealers are no longer interested in storage on their own account.
Ockenfels fears an “intervention spiral”: If entrepreneurs are withdrawing from the market, the state has to become increasingly active. “The levels of filling come from the acute gas crisis and are part of the test bench,” demands Ockenfels, who also heads the Max Planck Institute for researching community goods.
Where does the gas come from?
In the past, a good third of German gas imports came from Russia. The proportion dropped to zero by the end of August 2022. Germany drastically restricted its gas export and kept more. From the end of 2022 liquefied gas (LNG) was imported with tankers. According to a report by the trading pale, the new LNG port systems are now busy. They ensured eight percent of German needs last year. This results from information from the Federal Network Agency.
The lion's share of German gas comes from Norway today. The Netherlands and Belgium also deliver large quantities – partly it is back into gas converted LNG from the ports of Rotterdam and Antwerp. Data from the Federal Statistical Office show that German biogas does not play a role. Farms can use their own energy requirements, but only deliver 0.2 percent of the total requirement into the network.
The need in the future
How much natural gas does Germany need? Information from the Federal Network Agency, the Federal Statistical Office and the Association of the Gasmanship diverge. Coarse can be expected for 2023 with 800 terawatt hours (800 billion kilowatt hours).
The idea of being able to do without gas in the medium view and replacing it with climate -friendly renewable energy sources proved to be wrong. A market investigation by the consulting company McKinsey continues to confirm high gas requirements. McKinsey still expects gas consumption of 700 terawatt hours in 2030. Industry and private individuals rebuild to renewable energy sources. However, for example, far fewer heat pumps are installed than climate politicians floated. Power plants need more and more gas for ecologically cheap district heating.
Costs for private households
Natural gas currently costs about twice as much in Germany as before the war – however, prices have calmed down again. Data from the Federal Association of Energy and Water Management show that an average budget last year had to pay around six cents per kilowatt hour. In 2023 there were still ten cents and even more in 2022. Before the Russian war against Ukraine, it was only around three cents.
