The EU announced that it would overcome the energy crisis without Russia’s help
The price of gas in European countries has recently tended to stabilize.
Oil, gas and electricity prices in European Union countries have returned to levels that existed before Russia’s full-scale invasion of Ukraine in February 2022. This indicates the end of the energy crisis in Europe. This was stated by the CEO of one of the world’s largest oil and gas companies Shell, Vael Savan v interview Financial Times.
According to him, energy prices in the EU not only decreased, but also stabilized.
“We’ve seen this quarter more than any other in recent memory, the energy mix returning to the normalized price and margin levels that existed through 2022.”, – said Vael Savan.
Savan also noted that Shell expects a difficult path to the energy transition, even despite stronger-than-expected financials.
Declining prices and volatility in the energy market in Europe led to losses in Shell’s renewables and energy solutions business in the second quarter of 2024. Losses amounted to $187 million, which forced the company to reduce its portfolio of “green” energy projects from 4.6 GW to 3.8 GW.
Shell planned to invest $15 billion in “green” energy projects in 2023-2025. However, Vael Savan predicts that these projects will not start to bring profits until the end of the decade.
This shows that despite the current stabilization of energy prices, companies are still facing challenges in the transition to renewable energy sources.
