The European Union wants to require countries to fill natural gas storage before each winter to help replenish stocks and deal with supply disruptions, according to a draft document seen by Reuters.
European gas prices soared to record highs last year as tight supply collided with growing demand fueled by the economic recovery from the COVID-19 pandemic. Prices remain high amid a standoff between Ukraine and Russia, Europe's biggest gas supplier.
The European Commission will propose steps on March 2 to make Europe's energy system more resilient in the face of supply disruptions or price spikes.
The Commission proposes a legal requirement for Member States to provide a minimum level of retention by September 30 of each year, the Commission's draft document says.
The EC said companies are unlikely to be able to store enough gas on market stimulus alone as gas prices are expected to remain high at least until the end of this year.
The proposal, which is subject to change prior to publication, also calls on countries to set minimum levels for companies to own storage facilities on their territory, and says governments can offer financial incentives to do so.
Firms tend to replenish gas supplies outside the winter heating season, as wholesale gas prices and demand tend to fall during the summer season.
This did not happen last year, and Europe's gas storage facilities are currently 32% full.
The EU imports about 90% of its gas consumption, with about 40% supplied by Russia.
Governments in most of the 27 EU countries have already taken steps to protect consumers from rising energy bills, including tax cuts and subsidies for low-income households.

















