Europe has managed to avert an energy crisis thanks to a warm winter. But countries in the region hoarded natural-gas supplies last year on fears of a shortage. Storage facilities are now at their highest levels in years - but natural-gas prices have tanked.
Europe got lucky - it managed to avert an energy crisis, all thanks to a warm winter. But it has another problem. Countries in the region hoarded so much natural gas at higher prices that it's now stuck with stockpiles of the fuel that have depreciated in market value, according to Bussines Insider.
But the harsh winter it was fully prepared for did not come. It meant that European countries did not need to turn up the heating all that much. And hence, its regional natural-gas inventories - which are at about 65% capacity, on average - are at their highest levels in years.
Though the high storage levels are soothing concerns about an energy crisis in Europe, it also means that any sales from the stockpile on the spot market now will be at a loss. Any loss could hit European state coffers and might be borne by taxpayers.
The European Central Bank, or ECB, also warned in its bulletin that current higher-than-expected natural-gas inventories could deplete faster than expected should the mercury fall sharply, or if there's a prolonged cold spell in the coming months, leaving the EU gas markets in a "more vulnerable position."
