Germany's elevated gas consumption is hindering Europe's efforts to build up its natural gas reserves ahead of the peak season for gas-fired power demand. This is despite the region's below-normal natural gas inventories, which are usually at their annual peaks by this point in the year. The situation is exacerbated by a prolonged slump in power generation from wind farms and hydropower plants, leading to a 15% increase in Germany's gas use over the first 10 months of 2025 compared to the previous year. This trend may persist into winter, forcing German utilities to maintain higher gas-fired generation levels and potentially triggering tighter gas supplies and higher power prices for consumers. Germany, once the top destination for Russian pipeline gas, has struggled to adapt its energy systems to the sudden dearth of gas supplies, replacing lost volumes with more expensive LNG imports. This has resulted in a steady recovery in gas use, with gas accounting for 19% of electricity supplies in 2025, the highest since at least 2015. The situation is further complicated by the fact that German wind farms, which typically produce more power in winter, have been experiencing below-normal wind speeds, leading to a 4% decrease in wind power output so far in 2025. This could result in further elevated gas power generation, impacting gas stockpiles and regional gas prices.
