German economy ministry proposes extending natural gas storage filling requirement to 2027

Germany’s economy ministry has proposed extending the obligation to fill gas storage facilities by two years, until 2027. The ministry said in a press release. The required fill levels by specific dates will remain unchanged.

Based on a report assessing developments during the energy crisis, the German government says the rules introduced in response to the strained energy market situation in 2022 have proved effective. According to the report, having sufficient gas stored in storage facilities helped secure supplies and calmed markets.

The ministry proposes extending the rules by two years, until 1 April 2027, and said it would submit a legislative proposal after the parliamentary summer recess. Storage facilities remain an important “building block for security of supply” because construction of the planned facilities for importing liquefied natural gas (LNG) has not yet been completed, the ministry said.

In March 2022, Germany’s gas storage facilities were 26% full as the energy crisis intensified following Russia’s invasion of Ukraine. The German government first introduced a new law with ambitious requirements for gas traders, requiring a certain amount of natural gas to be held in storage by specific dates. It then raised the targets further, largely out of concern about the consequences of a halt to gas supplies via the Nord Stream pipeline.

The current rules stipulate that storage facilities must be 75% full by 1 September, 85% by 1 October, 95% by 1 November and 40% by 1 February. Germany’s storage facilities are currently around 80% full on average. The interim target of 75% for September was reached as early as the beginning of June.

Gas storage requirements need to be considered alongside the parallel process of commissioning floating and onshore LNG terminals, the economy ministry says. Wilhelmshaven and Brunsbüttel are already operational, but others are still in the planning and construction phases. Filling gas storage facilities therefore remains an important building block for ensuring security of supply, the ministry adds in its report.