Gas Prices in Europe exceed 2000 dollars - European countries in discord

Brussels/ Moscow: The possibility of fresh sanctions on gas supply from Russia has shot the prices of gas by 10 %, taking it above 2000 dollars per 1000 cubic meters. This is the third instance of a 10% hike in natural gas prices in the last four days. A meeting of the European Union to decide to cap gas prices from Russia saw a lot of disagreement from member countries. Austria and Germany have opposed the proposal.

Nord Stream gas pipeline, which delivers a significant gas supply from Russia to Europe, is currently shut down. However, the Turk Stream passing through Ukraine to Turkey and European countries is operational. On Tuesday, the Russian gas company Gazprom raised concern on gas supply as there has been a financial dispute with the Ukrainian company. Another risk is that no repair can be done in case the Turk stream goes down due to sanctions imposed by the EU. Because of these possibilities, gas prices have soared in European markets. On Friday, the natural gas prices spiked by 10% to close above 2000 dollars per 1000 cubic meters, to record a third consecutive increase within the last week. Factors like leakages in Nord Stream, a warning by Gazprom, and the situation with Turk Stream have caused gas prices to rise.

Meanwhile, the EU has again failed to impose a price cap on the import of gas from Russia. The EU commissioner confessed to failing to build the necessary consensus. Italy and Poland have supported the proposal to impose a price cap; however, Germany has opposed this proposal.