Gas Markets in 2024: Volatility & LNG Dependence
In 2024, the gas market faced renewed volatility, shaped by shifting geopolitical landscapes, economic adjustments, and Europe’s increasing reliance on LNG. These trends had significant implications for energy prices and supply security.
- Article
- 26/02/2025
How did geopolitical tensions and economic shifts impact gas prices and supply security in 2024?
Global conflicts and supply chain disruptions fueled price fluctuations throughout 2024. Europe’s dependence on LNG placed it in direct competition with Asian markets, further exacerbating volatility. As a result, securing stable supply remained a priority for many energy buyers, requiring flexible procurement strategies.
At the same time, macroeconomic factors influenced gas demand. Inflationary pressures and interest rate cuts affected industrial activity, leading to periods of lower consumption. Despite these fluctuations, gas storage levels remained high, offering temporary relief against extreme price swings.
The growing share of renewable energy also played a role in shaping gas market dynamics. Variations in solar and wind production impacted demand for gas in power generation. This interdependence between renewables and gas underscored the need for more adaptive energy management approaches.
Download the full eBookThe following graph illustrates the key factors that influenced gas markets in 2024, highlighting the main events that shaped pricing and supply conditions.
As the energy sector continues to evolve, understanding these market shifts is essential for anticipating forthcoming trends.