EUROPE PROPOSES EMERGENCY PLAN TO REDUCE NATURAL GAS CONSUMPTION

07/25/2022

Last Wednesday, the European Union’s (EU’s) executive branch announced an emergency plan to reduce natural gas consumption in preparation for energy shortages this winter and shifting the bloc away from dependence on Russian energy (Reuters). The plan demands that between August 1 and March 31 each EU country must ration gas and decrease consumption by 15% (New York Times). The European Commission suggested the goal could become legally binding if Europe’s gas supply crisis worsens further to a point of greater emergency.

Before the war in Ukraine, Russia had been the source for 40% of the EU’s natural gas supplies, which comprise roughly one-fourth of the EU’s total energy mix (Vox, New York Times). The announcement of the plan was catalyzed by the threat of Russia cutting off Europe from its gas supplies as retaliation for Europe’s support of Ukraine and economic sanctions. Earlier in the week, European nations waited to see whether Russia would resume gas flow to Europe in a pipeline that had been under construction and was scheduled to resume operation. While the pipeline did reopen on Thursday, natural gas deliveries are now flowing at only 40% of their prior capacity (New York Times). This reduction is the latest in a series of moves made by Russia to limit Europe’s supply; in June, it supplied only one-third the typical quantity of natural gas to Europe, sending economic shockwaves across the continent (Vox).