The Ban on Long-Term Natural Gas Contracts for the European Union: A Double-Edged Sword?

Zlata Sergeeva
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Zlata Sergeeva: King Abdullah Petroleum Studies and Research Center

Discussion Papers from King Abdullah Petroleum Studies and Research Center

Abstract: Long-term natural gas contracts are necessary market instruments that provide supply security for customers and demand security for producers. Nevertheless, the European Commission recently announced a plan to ban long-term contracts for unabated fossil gas after 2049. This study shows that this plan may destabilize the market due to the lack of supply security for customers and demand security for producers.

Keywords: Carbon; Carbon capture and storage; CCS; Carbon neutrality (search for similar items in EconPapers)
Pages: 27
Date: 2023-04-04
New Economics Papers: this item is included in nep-cta, nep-des, nep-ene, nep-env and nep-reg
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Persistent link: https://EconPapers.repec.org/RePEc:prc:dpaper:ks--2022-dp15

DOI: 10.30573/KS--2022-DP15

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