Natural gas storage market analysis in the Danube RegionUploaded: 1 of July, 2013

REKK has conducted the analysis of the natural gas storage markets in the Danube region. This analysis builds strongly on our previous study (The Danube Region Gas Market Model).
The present study addresses the need in the Danube Region for new underground natural gas storage (UGS) facilities. There are several UGS storage investment proposals on the table and there is some uncertainty on how to evaluate their regional impact and how to rank them in the European Project of Common Interest (PCI) selection process. This study aims to focus on the added value of these new storage facilities for the region and for the national markets. From our previous study on the ranking of gas infrastructure projects of the Danube Region we learned that individual storage investment does not have significant regional gas wholesale price impacts. This study examines whether storage investments are essential for the security of supply of their host countries and/or whether they have the potential to increase the economic welfare of the region.