The Danish Energy Agency (DEA) has issued an “early warning” due to escalating concerns over Russian gas supplies.
“This is a serious situation we are in, and it has worsened with the reduced supplies from Russia to the European gas market. That is why, together with other EU countries, we are now declaring an early warning to show timely diligence,” said Martin Hansen, Deputy Director of the DEA on Monday.
An “early warning” acts as a signal to players on the gas market that gas supplies may seriously decline, allowing the industry to prepare for a real supply crisis, Xinhua news agency reported.
The DEA said it has established a plan to ensure that consumers can heat their homes during the winter in the event of a gas shortage.
“The plan includes the release of emergency stocks and the possibility for the largest gas-consuming companies to have their gas supply completely or partially stopped for a period,” the DEA added.
Current Danish gas storage is nearly 75 per cent filled, close to the EU goal of 80 per cent filled by November 1, 2022.
The DEA highlighted that when the largest gas condensate field in the Danish sector of the North Sea, the Tyra platform, becomes operational next year, Danish natural gas production can increase and Denmark will become a net exporter.
Russian energy giant Gazprom announced it was cutting gas supplies to Denmark from June 1, after Denmark’s largest energy company Orsted refused to pay in rubles.