European gas demand continued to fall to new lows in the first 4 months of 2024, with milder weather and strong wind power weighing on gas consumption.
Overall, European gas demand dropped by an estimated 3% yoy, primarily due to lower gas burn in the power sector which plummeted by around 18%. strong wind generation (up by 17%), together with improving nuclear availability reduced the call on gas-fired power plants -which continue to play a key role in meeting peak demand and provide back-up to the power system.
Rescom demand dropped by an estimated 5% on the back of milder weather conditions, especially in Feb/March, which weighed on space heating requirements across European households.
In industry, gas demand continued its recovery supported by lower prices and increased by just over 10% -albeit remaining 10% below its 2021 levels. industrial gas demand recovery remains fragile and largely dependent on the evolution of prices.
Source: Greg Molnar
