The news articles says that Europe’s cumulative gas storage has reached around 95% of their total capacity which is enough to power their energy requirements for next 90 days. i.e. Winter season. They achieved this storage well ahead of their targeted date. that is why the international gas prices soured high during August 2022. Now, as the storage is almost full and there are number of ships queuing at many European ports and LNG floating terminals to unload the gas carried from US and middle east, the Gas will find it way to Asia at a cheaper rate.
Its a normal demand Vs supply scenario playing out. However, this price drop is a temporary and a bit short phenomenon. Once, the Europe’s temperatures drops below 10 deg, the usage increase and again price may go up.
India has no other choice to bring down the gas price other than increasing the local production of gas but it will come at a cost which normal people find it difficult to afford. Govt. has to think out of the box to attract investments in future and to make sense of already invested amount in Gas based economy.
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