Germany’s gas reserves fall to record low — association

BERLIN, August 21. /TASS/. Germany’s Association of Gas Storage Operators (INES) said the country’s gas storage facilities are currently less full than at any time since records began in 2011. "The current gas storage level is by far the lowest ever recorded in Germany for this time of year," INES Managing Director Sebastian Heinermann told DPA. "We are therefore dealing with a historic low," he said. Heinermann stressed that gas storage facilities are currently 49% full, compared with 67% at the same time last year. Even if all currently booked capacity – which amounts to 78% of Germany’s total gas storage capacity – is fully utilized by winter, the volume of gas accumulated would not be sufficient to fully meet demand in the event of extremely low temperatures. At present, the cost of purchasing gas is often higher than the price at which it can be sold in winter. As a result, companies have little economic incentive to inject gas into storage. On August 20, Germany’s Economy Ministry said it did not expect a gas shortage this winter. The ministry believes that preparing for winter is primarily the responsibility of the private sector, including gas companies and traders. Government intervention carries risks, it said. Nevertheless, the German government is "preparing the necessary options for action" should the situation deteriorate, the ministry explained.