EU enters winter with lowest gas storage since 2013, IEA says

The European Union is entering the 2026–27 heating season with its lowest gas storage levels since 2013, the International Energy Agency says, raising the risk that tight global gas markets will persist well into 2027.

Low reserves leave Europe more reliant on global liquefied natural gas (LNG) supplies during peak winter demand. The IEA says a colder-than-expected winter, technical outages or other supply disruptions could leave the region particularly exposed.

The agency also warns that Europe may need to buy more gas to refill storage through summer 2027. That could intensify competition for flexible LNG cargoes and put upward pressure on spot prices during periods of high demand.

The outlook comes amid disruption to LNG shipments through the Strait of Hormuz. The IEA says the effective halt in flows from Qatar and the United Arab Emirates cut loadings by more than 60 billion cubic metres between March and October, and pushed Asian and European gas prices to their highest levels since the 2022–23 supply crisis.

The IEA expects global LNG supply to fall by 3% in 2026, while global gas demand declines by about 1.5%. It attributes the lower demand in part to reduced industrial gas use in Europe and a switch from gas to coal in power generation across several Asian countries. The agency says rising LNG supplies, particularly from North America, and more flexible trading arrangements are helping markets absorb the disruption.