A Cold Snap Avoids, but Europe’s Energy Crisis Isn’t Over
Despite milder-than-expected weather, Europe is bracing for a potential surge in gas prices this winter.
A Rumor of Cold Winds and Soaring Prices
Europe breathed a collective sigh of relief this fall as mild weather helped shield it from the energy crisis that haunted the continent for much of 2022. However, the convenience won’t last forever.
A sudden cold snap at the beginning of November sent shivers through energy markets. Prices jumped nearly 40% since mid-September – reaching nearly €49 ($51.6) per megawatt-hour by late November.
The change highlights Europe’s vulnerability, proven after Russia’s invasion of Ukraine sent gas prices skyrocketing last year.
But even with decreased reliance on Russian piped gas, a colder winter remains a significant threat. Europe heavily relies on storing gas, and depleted inventories could trigger a new price spiral, reminiscent of the crisis in 2022.
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Meanwhile, the threat of a colder-than-expected winter looms large. Experts warn that🅂
How has the recent spike in energy prices despite a mild fall impacted the perception of Europe’s preparedness for a potential energy crisis this winter?
**Interviewer:** Joining us today is Dr. Anya Petrova, an energy economist specializing in European markets. Dr. Petrova, thanks for being here.
**Dr. Petrova:** It’s a pleasure to be here.
**Interviewer:** We’ve just had a fairly mild fall in Europe, bringing some relief after last year’s energy crisis. But prices still spiked recently with that taste of colder weather. What should people be making of this? Is Europe really out of the woods this winter, or is there still a real risk of another crisis?
**Interviewer:** Some experts suggest that European countries could be better prepared this year thanks to increased storage and diversification efforts. Do you agree? Will these strategies be enough to protect consumers from another price shock?
**Interviewer:** Knowing what we know now, should European governments be doing anything differently to prepare for potential future energy disruptions?
