Domestic power prices have been very volatile in recent months amid low wind speeds. Germany has been experiencing lower-than-normal winds for four months, which have reduced wind power generation, boosting electricity prices and the reliance on fossil fuels. Electricity prices have been rising this year due to higher natural gas prices in Europe amid a cold winter, lower wind generation, and faster depletion of natural gas inventories.
The German economy ministry spokesperson said the government is not a party to the contract and isn’t involved in negotiations. Rosneft Deutschland declined to comment, and the Qatari wealth fund also declined to comment.
Germany, which in 2023 closed all its remaining nuclear power plants – is now seeking to balance the generation and transmission systems with new gas power plants. But deadlines and timelines are being missed, and a new government is expected after the snap elections in late February.
Germany’s natural gas demand rose by 3.3% in 2024, due to lower prices compared to last year, preliminary estimates by the association of the German utilities, BDEW, showed on Wednesday.
Abu Dhabi’s ADNOC has signed a deal to supply 600,000 tonnes per year (tpy) from the Ruwais LNG project to Germany’s EnBW, the Emirati energy player announced on Monday.
Since early November, the so-called ‘Dunkelflaute’, German for “dark wind lull”, have often resulted in wind farms in Europe’s biggest economy generating only a fraction of their nameplate capacity, leading to day-ahead electricity prices for peak demand hours to high levels not seen since the peak energy crisis in 2022.
Western governments crafted another way to benefit from soaring oil and gas company profitability–taxing share buybacks, such as has been done in the U.S. and Canada. Dividends could also be taxed more heavily. Both methods, suggests Wood Mackenzie, would actually “incentivize reinvestment, thus promoting jobs and additional energy supply”.
The share of projects under construction or equipped with final investment decisions has risen to 9% from 3% of the 2030 target of 11.3 gigawatts (GW) of electrolysis capacity, E.ON said.
SEFE to purchase up to nine billion cubic metres of natural gas from ConocoPhillips over the next ten years
Agreement further strengthens security of energy supply for Germany and Europe
SEFE CCO Frederic Barnaud: “This agreement is an important milestone in pursuing our ambition to diversify our natural gas portfolio.”
The first shipments of Senegalese crude oil from the Sangomar project are on their way to refineries in the Netherlands and Germany, marking a new era for the Senegalese economy.