09:31 Gas prices in Europe rise to new high on fear of sanctions –

09:31 Gas prices in Europe rise to new high on fear of sanctions –

European gas prices reached a new high on Wednesday. The price on the main exchange in Amsterdam rose by 60% to 194 euros per megawatt hour due to concerns about the impact of Western sanctions on the gas supply.

The European Union and other Western countries will soon announce a new package of sanctions if Russia does not withdraw from Ukraine. One possibility is that they impose restrictions on Russian gas supplies.

Another possibility is that Russia would decide to turn off the gas tap in retaliation for the current sanctions. This can be problematic for countries like Germany and Italy, which get most of their gas from Russia. Although German Minister Robert Habeck (Economics) said on Wednesday that his country is ready for a closed gas tap.

Tensions have pushed the price of European gas to a new record of 194 euros per megawatt hour. At the previous peak in December, the value of gas was just under 181 euros per megawatt hour. At the time, this was mainly due to the cold winter and the discussions about the Nord Stream 2 gas pipeline between Russia and Germany, while the builder demanded a postponement of payment.

Source: NU

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