Gas prices in Europe rebounded again yesterday, Tuesday, after falling in the previous three sessions, while traders evaluate the effects of intensive efforts in Europe to ease the gas supply crisis with the entry of the winter season, which witnesses the peak of demand for it.
The prices of benchmark gas futures contracts in Europe rose during trading yesterday by 6.6%, after falling in the beginning of trading, to reach their lowest levels since late July, according to Bloomberg News Agency.
This comes at a time when European governments are spending billions of euros; To ensure adequate supplies of gas, Germany is close to nationalizing gas giant Uniper as part of a historic rescue plan for the company.
The German government has allocated an additional 2.5 billion euros in credit lines to secure purchases of liquefied natural gas as part of its efforts to reduce dependence on Russia as a major source of energy supplies.
Germany has allocated about 15 billion euros in credit lines to be disbursed in installments to finance purchases of liquefied natural gas. The first batch of 1.5 billion euros of that money has already been disbursed, while the government has earmarked an additional 2.5 billion euros for gas purchases, according to a document seen by Bloomberg.
On the other hand, the price of the Dutch standard contracts for gas rose to 194.26 euros per megawatt-hour, for delivery next month, after falling by 6.8% earlier. The price of British gas also rose by 12%, after falling last week.
Italy announced in early September that the government would spend at least 6.2 billion euros of additional tax revenue to help Italian families and companies affected by high energy prices, specifically gas.
A source told Bloomberg that the new aid package to be provided by the Italian government, first needs parliamentary approval to be disbursed. The package of measures expected to be approved early next week is likely to reach 13 billion euros.
