Global gas demand hits record high in 2024, driven by Asia

Global natural gas consumption rose by 2.8% in 2024 to a new all-time high, mainly supported by stronger demand in Asia-Pacific, according to ARERA’s annual report.

In the European Union, gas use edged up by 0.5% to around 332 billion cubic metres (bcm), still far from the pre-crisis level of 412 bcm in 2021. Germany (+1.6%), the Netherlands (+1.3%) and Italy (+0.6%) recorded increases, while France (-6.2%) and Spain (-4.2%) saw declines due to higher nuclear and renewable power generation.

Global gas production rose by 1.4% last year, with unconventional gas accounting for 32% of total output (+2%). In Europe, higher output from Turkey (Sakarya field fully operational, +178%) and Norway (+8%) offset the structural decline in the UK and the Netherlands. EU gas imports fell by 6% year-on-year to about 275 bcm, down 18% versus 2022. EU storage exited the 2024/2025 winter with about 27 bcm less in reserves and an average fill level of 34% (59% the year before); Italian storage currently stands at 62% full.

European gas prices continued to stabilise: the Dutch TTF hub averaged €34.4/MWh in 2024 (-15% year-on-year, -72% versus 2022), while Italy’s PSV averaged €36.7/MWh. The annual average spread PSV-TTF was €2.3/MWh.