EU needs a #gas savings strategy to prepare for potential gas interruption that could result from decision on Russia’s side or an EU embargo: New study with @IsabellaMWeber @goldthau and Kacper Szulecki: diw.de/de/diw_01.c.83… 1/7 
Extreme gas prices show - market participants see high risks of and from prolonged physical supply shortage. Contingency plans are required – but EU and MS security of supply regulation was designed primarily for short-term interruptions. 2/7
Extra LNG imports would be insufficient, gas savings essential. But further price increases (i) reach consumption choices late (ii) can trigger government interventions to avoid social hardship, business closure & political instability. -> unlikely to deliver the savings. 3/7
To limit or avoid rationing, which is primarily applied to industry, non-price-based mechanisms and coordinated and voluntary efforts for gas saving are required. 3 steps to increase resilience & unlock gas saving across sectors: (for all energy see
https://twitter.com/LeonLeuser/status/1517046203015380992) 4/7
Step 1: European institutions and governments should immediately agree on an EU level gas saving target with a clear definition of the contribution expected from each member state. This allows to reduce imports and support storage refill. 5/7
Step 2: Building on initial saving arrangements and experience, the EU should be prepared to scale up the gas savings targets for the case of supply interruptions. This may include more far-reaching non-price mechanisms, potent enough to avoid the need for rationing. 6/7
Step 3: To prepare for the case of rationing as a measure of last resort (should savings targets and storage refill levels not be met) there is a need of multi-stakeholder advance planning and consultations. 7/7
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