Publication details
The Impact of the Russia-Ukraine War on Global Gas Markets
| Authors | |
|---|---|
| Year of publication | 2024 |
| Type | Article in Periodical |
| Magazine / Source | Current Sustainable/Renewable Energy Reports |
| MU Faculty or unit | |
| Citation | |
| Web | https://link.springer.com/article/10.1007/s40518-024-00232-x |
| Doi | http://dx.doi.org/10.1007/s40518-024-00232-x |
| Keywords | Russia; Gas; LNG |
| Description | Purpose of Review To establish how the global gas market has been impacted by the Russian invasion of Ukraine and the subsequent disruption to gas imports to Europe. Recent Findings Gas flows from Russia to Europe has fallen by 80% leading to a dramatic surge in LNG imports to the EU, which has in turn affected prices and trade flows in the rest of the global energy economy. Russia has re-directed some of its exports, but in general competition in the LNG market has increased significantly and developing countries in particular have struggled to access adequate supplies. Summary Russia’s invasion of Ukraine in February 2022 caused the most dramatic shock to the global energy market for decades. In a gas market that was already tight, the threat and then the reality of Russian gas exports to Europe gradually being reduced by 80% led to a dramatic increase in concerns over energy security, a spike in gas prices to historic highs, and a rethink of energy strategy in Europe and beyond. Although the impact was initially felt hardest in Europe, the consequences have been felt in other gas importing and exporting regions, and have caused a major re-balancing of supply chains, with the importance of LNG emphasised. In particular, US LNG has played a major role in stabilising the global gas market, with political as well as commercial consequences. The role of Russia has also changed dramatically, with its pivot to Asia now a necessity rather than a long-term plan. |