The EU has come through the energy crisis following the Russian attack on Ukraine unscathed. Nevertheless, the EU auditors in Luxembourg have given the community of states a mixed report.
In order to guarantee a secure gas supply in the long term and to be prepared for new crises, the EU still has a lot of homework to do, according to the European Court of Auditors. The international community has reacted to the gas crisis following the Russian attack on Ukraine with a series of emergency measures, according to a report by EU auditors published in Luxembourg on Monday. However, the benefits of the measures are not always clear. At the same time, new challenges are emerging.
The Russian war against Ukraine led to a halt in gas imports from Russia in 2022, which in 2021 accounted for 45 percent or almost half of gas imports in the EU. Germany in particular had benefited for many years from cheap pipeline gas from Russia, which once accounted for 55 percent of Germany’s total supply. As a result of the supply halt, a supply crisis and escalating gas prices occurred in Europe.
The EU attempted to become independent of Russian gas through various measures. Among other things, a mechanism for joint gas purchases was created to ensure stable prices for companies, to refill gas storage facilities and to prevent EU countries from outbidding each other. The EU countries also agreed to reduce their gas consumption.
Impact of EU measures not clear
During the crisis, the EU successfully reduced its gas demand by 15 percent, but the auditors were unable to determine whether this was due solely to EU intervention or also to external factors such as high gas prices or a warm winter, it was said. The gas storage facilities were also filled as required and the 90 percent target was even exceeded – “however, this only corresponds to the usual filling level of the storage facilities before the crisis,” the auditors said. It was also not possible to determine whether the joint gas purchases had any added value: the crisis-related differences between gas prices in the individual EU countries were already significantly smaller when the mechanism was put into operation.
The EU must complete the framework conditions for affordable gas, say the auditors with a view to the future. Many EU countries continue to hesitate to conclude bilateral solidarity agreements for gas supplies, they criticised. In addition, the reduction of CO2 emissions caused by gas must be pushed forward much more strongly in order to achieve the EU’s climate goals.
Source: Stern
