The German government dismissed Italy's accusations regarding the country's delay in completing gas storage before the winter season and contributing to the sharp increase in prices as baseless. According to German officials, the country is currently seeking to reduce costs for gas importing companies in order to prepare them for privatization.
Impact of Global Conflicts on Energy Prices
European countries, especially Germany and Italy, are trying to find a solution to support consumers against rising energy costs and inflation. The war between the United States and the Israeli regime against Iran, as well as the military conflicts between Russia and Ukraine, have led to a sharp increase in oil and natural gas prices. According to reports, prices are currently about three times higher than the levels before the war against Iran began in late February 2023.
An Italian official announced on Thursday (November 7) that Rome has spent hundreds of millions of euros to fill its gas storage tanks before winter. Meanwhile, Germany is seeking to secure gas from outside the European Union and reduce the impact of supply shortages on the European market.
Privatization and Delays in Storage
Energy analysts believe that Germany, while focusing on the privatization of its energy companies, namely Uniper and SEFE, two major companies involved in the storage process, has delayed filling the storage tanks. A spokesperson for the German Ministry of Economy and Energy stated: "We reject the accusation that we are contributing to rising gas prices in Europe due to the supply and storage of natural gas by SEFE."
He also added: "The claim that Germany has neglected filling storage facilities during the privatization of SEFE and Uniper is baseless." According to this official, Germany has instructed SEFE to source as much gas as possible from outside the European Union to minimize the impact of supply shortages on the European market and gas prices.
Ultimately, the spokesperson emphasized that the amount of gas storage in Europe will be sufficient even in the event of a very cold winter. Although gas storage facilities are of great importance, Germany and the European Union have access to alternative options such as liquefied natural gas (LNG) and imports through pipelines, as well as a highly integrated and advanced gas network.
