Germany declares gas ‘alarm’ as Russia cuts supplies to Europe

Germany on Thursday activated the second phase of its three-stage gas emergency program, taking it one step closer to rationing supplies to industry — a step that would deliver a huge blow to the manufacturing heart of its economy.

”Gas is from now on in short supply in Germany,” Economy Minister Robert Habeck told reporters at a press conference in Berlin.

The region’s energy crisis escalated this month as Russia further reduced supplies to Germany, and other European Union countries.

Russia’s state gas company Gazprom slashed flows through the Nord Stream 1 pipeline to Germany by 60% last week, blaming the move on the West’s decision to withhold a vital turbine because of sanctions. Italian energy giant ENI also said it had been informed that Gazprom would cuts its supplies by 15%.

Russia has slashed the volume of gas flowing through the Nord Stream 1 Baltic Sea pipeline to Germany.

Habeck called on Germans to reduce their gas consumption as part of a national effort to prepare for the “upcoming winter months.”

The German government’s decision to raise the level to “alarm” follows the cuts to Russian deliveries made since June 14 and the continued high market price for gas, Habeck added.

“We are in an economic confrontation with Russia,” Habeck said.

Habeck said while German gas storage facilities are 58% full — higher than at this time last year — the goal of reaching 90% by December won’t be achievable without further measures.

— This is a developing story and will be updated.

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