Vera Eckert & Markus Wacket

BERLIN, (Reuters) – Friday’s Bundestag lower House vote approved legislation requiring Germany’s private gas storage facilities to be fully stocked at the start the next winter. The aim is to prevent shortages in the unlikely event that Russian gas imports are halted.

According to law, facilities must be filled at least 65 percent by August 1., 80% by October (when the heating season begins and for traders and utilities), and 90 percent by November.

Storage levels currently at 25% must reach at least 40% by February 2023.

Trading Hub Europe (THE), Germany’s largest gas market trading center, will ensure that traders meet the requirements by issuing tenders.

The law gives THE the ability to acquire gas using tenders that use state funds.

After President Vladimir Putin’s “special military operations” in Ukraine, on February 24, Vladimir Putin started what he called a “specially military operation”. The government of Chancellor Olaf Scholz has taken steps to reduce Germany’s dependence on Russian energy imports. The West and Kyiv both claim that Putin started an unprovoked conflict.

This law is in line with European Union coordination to allow member countries to increase their gas stocks or buy more from other countries.

According to Economy Minister Robert Habeck, Germany has reduced gas imports from Russia by 40% in the past four weeks, compared with 55% during the initial invasion.

Even before the invasion, energy prices in Europe reached new heights. European nations accused Russia of deliberately decreasing the gas flow through their pipelines at historically low volumes. Russia refuted this claim and claimed it met its contractual obligations.

One third of Germany’s gas storage is owned by Russia’s Gazprom, (MCX): whose German facilities had lower gas levels than other businesses this winter.

In the case of an imminent shortage, the law gives the power to the national energy hub the right to use any facilities which are not full or have a lower filling level than required to store gas purchased.

The operators have criticized the plans saying that they interfer with market signals and prices.