Habeck announces gas alert: “Gas is now a scarce commodity”

The top priority is now to fill the gas storage tanks. Alternative providers would be sought and renewable energies expanded. The alert level is the second of three escalation levels of the gas contingency plan unveiled after the Russian attack on Ukraine. Unlike them Early warning level in force since March 30th the alert level could have significant consequences for businesses and consumers.

Gas suppliers could pass prices on to consumers

With the second Step the crisis meetings are now taking place more often. The authorities can ask private gas customers and industry to voluntarily use less gas. In addition, without a price adjustment mechanism, suppliers are likely to pass on the exploding gas prices on the market directly to consumers, regardless of what is in the supply contract.

Federal Minister of Economics Habeck announced not to activate the corresponding price adjustment clause. The prerequisite for this is that the Federal Network Agency detects another disruption in the gas flow. The regulatory authority will not yet determine the “significant reduction in total gas import volumes” required under the Energy Security Act, the Reuters news agency learned on Thursday from two insiders. Irrespective of this, the burdens would already be felt by consumers, according to Habeck.

Leave a Reply

Your email address will not be published.