Gas Scores Back-to-Back Wins in EU

摘要

Last year was again pretty good for natural gas across the EU, buoyed by greater use of gas for power generation in key markets like Germany. After rising 4.1% in 2015, consumption in the 28 EU members plus Switzerland increased around 6% in 2016 to roughly 450 billion cubic meters (43 billion cubic feet per day), according to preliminary estimates from European gas lobby group Eurogas, lifted by the fuel's increased competitiveness against coal — whose price rose after China cut supply — cold weather and rising industrial demand in some countries (WGI Jan.4' 17). But the two years of increases follow four years of decline, and nobody is predicting a return to the heady days of 2010, when consumption peaked at roughly 522 Bern (WGI Apr.6'16). Gas faces growing headwinds in Europe: Greater energy efficiency has reduced overall energy demand, while renewables' increasing penetration is capping increases in its market share.