Gas storage: Parliament backs refill flexibility to bring down prices

90% storage filling obligation extended by two years, until the end of 2027

Target to be achieved every year between 1 October and 1 December

Flexibility in cases of difficult market conditions

More transparency on the share of gas originating from Russia

Approved in plenary today, the new law seeks to address speculation on the gas market and bring down prices, by introducing greater flexibility to gas storage refilling rules.

The Regulation, already agreed upon between MEPs and Council, will extend the EU’s 2022 gas storage scheme until 31 December 2027, as it would otherwise have expired at the end of 2025. The provision is designed to ensure gas supply security ahead of the winter season.

MEPs and the Council also introduced several amendments to ease tensions in the gas market, as speculation surrounding the existing mandatory 90% fill rate target by 1 November each year was driving up the cost of refilling during the summer.

Refilling flexibilities

The text will allow member states to achieve the 90% filling target at any point in time between 1 October and 1 December. Once the 90% target is met, it should not be required to maintain that level until 1 December.

Member states should have the possibility to deviate by up to 10 percentage points from the filling target in the event of difficult market conditions, such as indications of speculation hindering cost-effective storage filling. The Commission may further increase this deviation by a further five percentage points by means of a delegated act, for one filling season, if these market conditions persist.

Towards full independence from Russian imports

The competent authority monitoring gas refilling in each member state shall also provide information on the share of gas originating in the Russian Federation being stored, in line with the 17 June proposals from the European Commission. This should help with monitoring whether Russian gas is stored in the EU.

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"The 2022 legislation showed that Europe was able to protect its citizens in a situation where Russia was using gas as a weapon of blackmail", said rapporteur Borys Budka (EPP, Poland). "This revision will provide for more flexibility and less bureaucracy but, above all, it will bring Europe’s gas prices down, while we continue advancing towards energy independence from unreliable suppliers" he said.

Next steps

Parliament backed the bill with 542 votes to 109, with 30 abstentions. It will now have to be formally approved by Council before publication in the EU Official Journal.

Background

Gas-storage facilities provide for 30% of the Union's gas consumption during winter months. The EU’s energy security has been a critical concern in recent years, not least in light of its dependence on non-EU countries for primary energy supplies. The 2022 energy crisis, exacerbated by Russia's full-scale invasion of Ukraine and the subsequent weaponisation of gas supplies, highlighted the urgent need for additional measures to ensure stable and affordable energy supplies.

Among these, the EU introduced new gas storage rules. However, the global gas market remains tight, with increased competition for liquefied natural gas (LNG) supplies and persistent price volatility.