OIES Podcast – The Relevance of European Gas Hubs
In this latest OIES podcast, recorded by the Gas Research Programme, James Henderson talks to Patrick Heather about his new paper entitled “European Traded Gas Hubs: their continued relevance”. The title of the paper was inspired by the questions raised by the European Commission about whether the TTF hub provided a relevant gas price benchmark in 2022, when prices rose to record highs. The podcast explores the reasons behind this question and then examines the liquidity of the key gas hubs in Europe, looking at the volumes traded, the number of participants, the churn rate and other key indicators that Patrick has been researching over a number of years. The podcast also looks at the role of NBP, especially as the UK played a key role as an LNG bridge for Europe during the energy crisis. Patrick also assesses whether any new hubs could emerge in the coming years, and asks what could happen if the EU price cap is breached and what impact this might have on the trading of gas. Finally, he also considers TTF in a global context and concludes by answering the question that his research paper asks – how relevant are traded markets in Europe?
