While Europe managed to import (more than) enough liquefied natural gas (LNG) by ship last winter to avoid an energy crisis, it may find it more difficult to do so this year.
Why is this important?
The European natural gas market was fundamentally reshaped last year following Russia invaded Ukraine. Indeed, before the war, the EU imported half of its natural gas from Russia. Today, it is forced to import natural gas by ship from the United States, Qatar, Nigeria and a multitude of other countries. In 2022, European LNG imports increased by 60% compared to the previous year.The essential : in 2022, the EU mainly bought LNG on the spot market (also called spot), very expensive, but might not conclude enough long-term contracts with suppliers.
- In the short term, this provided enough natural gas to survive the winter. But by buying mainly in the spot market, the price has increased significantly. According to figures from the International Energy Agency (IEA), the EU spent 1
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