Key Points
- 01TotalEnergies CEO says Europe will avoid a gas shortage this winter
- 02Europe is expected to pay more to secure sufficient gas supplies
- 03German gas storage was 61.03% full on November 1, below the EU average
- 04Competition with East Asia for LNG cargoes is driving up costs
Europe told to expect higher gas costs, not shortages
TotalEnergies CEO Patrick Pouyanne said on November 2, 2026, that Europe will not face a gas shortage this winter but will need to pay more to ensure sufficient supply. He stated that the idea of a gas shortage is wrong and emphasised that Europe will still be able to secure the gas it needs. However, he warned that securing this supply will come at a higher cost compared with other regions.
Pouyanne summed up the situation by saying that Europe will pay more than others for gas, describing this as simple and unavoidable under current conditions. His comments highlight a shift in concern from the risk of physical shortages to the burden of higher energy costs for European buyers.
Gas storage levels and market dynamics
The CEO’s remarks come as European countries work to refill storage sites ahead of winter while competing with East Asia for liquefied natural gas cargoes. This competition for LNG is increasing supply costs, contributing to higher gas prices over the summer, a period when merchants usually prefer to store gas rather than sell it.
German gas storage caverns, the largest in Europe, are entering the winter season at their lowest recorded levels. As of November 1, they were 61.03% full, significantly below the European Union average of 74.62%. These figures underline the uneven state of storage across the bloc and add urgency to efforts to secure additional volumes.
Storage awareness and geopolitical backdrop
Pouyanne said Europe is waking up to its gas storage needs after markets had bet on the Iran war ending in the summer. Continued uncertainty over the US-Israeli war with Iran and its impact on exports from Qatar, one of the world’s largest LNG suppliers, has added to market tension. This uncertainty has reinforced the need for Europe to secure gas earlier and at higher prices.
He spoke during a briefing on TotalEnergies’ energy demand outlook, where he reiterated that Europe is not at risk of a gas shortage this winter. Instead, the central issue is the cost of ensuring adequate supplies amid tight global competition and lower storage levels in key countries such as Germany.
Key Takeaways
- 01Europe’s near-term gas risk is framed as a price problem rather than a physical shortage risk.
- 02Lower German storage levels versus the EU average highlight uneven preparedness within Europe.
- 03Strong LNG competition from East Asia is a key driver of elevated European gas costs.
- 04Geopolitical uncertainty around Iran and Qatar is shaping Europe’s approach to storage and procurement.