Lack of gas from Russia could reduce EU GDP by 1.5%

According to the new calculations of the European Union, if Russia decides to turn off the gas tap for the entire block, it may reduce the EU's GDP by 1.5%. However, this is the worst-case scenario assuming lower-than-standard temperatures and the lack of adequate measures to replenish supply and reduce demand.

However, if the winter is relatively warm and the Member States implement measures recommended by the European Commission, GDP may be reduced by 0.5-1.0%. Current stock levels in Europe correspond to 45 days of average winter consumption. Therefore, if countries cooperate with each other, "no one should freeze" for lack of an adequate source of energy.

Today, Reuters reported that on July 14, Gazprom sent a letter to at least three recipients that the reason for the recent smaller deliveries was "force majeure", with which the company could not do anything. First of all, Gazprom points to the lack of a renewed turbine necessary to start up the Nord Stream I gas pipeline and the closure of one transmission point in Ukraine. Gas prices in Europe were rising by at least 5% today, while in the US NATGAS prices increased by 6%.

NATGAS - the price of gas in the US is rising again due to high temperatures, which require the operation of a large number of air conditioners. Source: xStation5