EU sets out plan to bolster gas reserves

The goal is for the EU to be able to bolster its gas reserves in time for what is likely to be a very tough winter. European households and businesses are being squeezed by skyrocketing energy prices and reduced Russian gas that several member states are dependent on.

The EU countries will try to reduce gas consumption by 15 per cent between August this year and March next year, based on how much they used on average over the past five years, according to the regulation.

Some EU countries had carve-outs from strictly following the rule, which was in any case called a voluntary demand reduction. These countries were not fully connected to the European electricity grid or gas pipelines to other parts of the EU or unable to free up enough gas to help other member states.

Hungary, which relies on gas piped in directly from Russia, had demanded the exception.

Germany, the EU's economic powerhouse, took a major share of the 40 per cent of EU gas imports that came from Russia last year.

If the European Commission sees a severe gas supply shortage or exceptionally high gas demand, it can ask EU countries to declare an alert for the bloc. That would make gas cuts binding and limit exceptions.

While the EU hasn't included Russian gas in its sanctions on Moscow for the war in Ukraine, the Kremlin has cut supplies anyway, in what Brussels seems to be an attempt to weakarm Europe.