European Parliament approves EU gas storage flexibility
With 425 votes in favour, 106 against and 43 abstentions, the European Parliament approved on May 8 a European Commission proposal to extend the EU’s 2022 gas storage scheme until December 31 2027.
The scheme would otherwise have expired at the end of 2025.
The provision is designed to ensure gas supply security ahead of the winter season.
MEPs introduced several amendments to ease tensions in the gas market, as speculation surrounding the existing mandatory 90 per cent fill rate target by November 1 each year was driving the cost of refilling during the summer.
MEPs propose reducing the filling target from 90 per cent to 83 per cent, to be met at any point in time between October 1 and December 1 each year.
EU member states would be allowed to deviate by up to four percentage points from the filling target in the event of unfavourable market conditions, such as supply disruptions or high demand.
The Commission may further increase this deviation by up to an additional four percentage points if these market conditions persist.
Member states would however have to ensure that the cumulative effects of flexibilities and derogations do not bring down overall storage filling obligations below 75 per cent, MEPs say.
MEPs say that in light of Russia’s ongoing war against Ukraine, member states should refrain from storing gas of Russian origin.
The European Union should also, they say, pursue immediate sanctions on Russian gas imports, including LNG. A full embargo is both necessary and feasible, they say.
MEPs will now enter into negotiations with the Polish presidency of the Council of the EU. A first round of talks is scheduled for May 13.
