Bloomberg Identifies Reasons for Gas Price Decline in Europe

Gas prices in Europe have decreased by 60% throughout 2023, and further reduced by 12% in 2024, despite an increase in demand due to cold weather conditions.

According to Bloomberg, this situation has been made possible thanks to renewable energy. The rise in wind and solar energy production in Europe has contributed to meeting gas demand and has also aided in the recovery of nuclear energy production in France. As a result, fuel prices in the European market have dropped, the agency notes.

“The fact that the winter of 2022-2023 passed without any issues helps to calm nerves,” said Kim Foustien, head of European oil and gas research at HSBC Holdings.

This week, it was reported that the market price of gas in Europe has decreased by another 2.19%. Currently, the cost of fuel has dropped to $333.48 per 1,000 cubic meters.