From S&P Global Platts, February 28:
Russia's invasion of Ukraine sent crude prices above $100/b Feb. 24. But the impact of the conflict is also felt in other energy and commodity markets such as natural gas and agriculture.
....2. European coal returns could offer some relief to gas market in event of Russian gas supply cut
What's happening? Russia's military invasion of Ukraine has put future supplies of the country's gas to Europe in jeopardy. The European power sector's ability to shift away from gas-fired power generation is limited by the high level of coal, lignite and nuclear plant closures in recent years.
What's next? As much as 17 GW of coal and lignite capacity in Western Europe has recently closed, is due to close this year or is unavailable for regular running due to being held in strategic reserves. In the event of a disruption in Russian gas supply, S&P Global Platts Analytics expects some of this capacity could return to market. In the unlikely scenario that all 17 GW returned, this would displace up to 7 GW of gas generation (equivalent to 30 mcm/d of gas demand) with a further 5 GW (22 mcm/d) being discounted by the assumed 2% drop in power demand resulting from higher energy costs and worsening macroeconomic outlook.....
....MUCH MORE
