Eurogas urges European Commission to assess Storage Regulation’s impact on energy prices

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In the context of the upcoming Clean Industry Deal and Affordable Energy Action plan, the costs and benefits of a possible extension of the Storage Regulation need to be carefully assessed. If prolonged, reforms should be considered, otherwise the Regulation will continue to artificially inflate seasonal demand, reduce market efficiency, and contribute to sustained higher prices in the EU gas market.

Key recommendations:

• Assess the benefits of prolonging the Storage Regulation and implement adjustments that enhance flexibility and efficiency: Lower overall storage filling targets and remove (the number of) intermediary targets to improve market flexibility.
• Account for national and regional specificities for Member States with alternative supplies.
• Prioritise market-based mechanisms e.g. call options and filling tenders.

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