The Gas Market Task Force (GMTF) - bringing together the expertise of the European Commission  and the two EU Agencies responsible for regulating and overseeing gas and gas derivatives markets (ACER and ESMA) - concluded its work to scrutinise the functioning of the EU’s gas market and gas derivatives markets under the mandate of the European Commission’s 2025 Clean Industrial Deal Communication and the Action Plan for Affordable Energy. 

As highlighted by the Commission in their Action Plan, “the importance of gas markets for our economy makes it essential to ensure an optimal functioning of those markets. Full regulatory oversight and close cooperation between energy and financial regulators is required to prevent market manipulation and to close any possible loopholes related to any lack of transparency, asymmetry of information and risk of market concentration”. 

The (2024) Draghi report on the future of European competitiveness stressed that high energy prices, and in particular gas prices, are one of the main aspects affecting the growth potential, and thus the competitiveness of European industries.  Accordingly, it called for urgent action to ensure the proper functioning of energy spot and derivatives markets.

Against this background, the GMTF reviewed key market fundamentals and developments in European gas and gas derivatives markets, as well as the applicable legislative framework. It also analysed the stakeholder feedback received in the context of the European Commission’s public consultation on commodity derivatives and spot energy markets. 

What are the Gas Market Task Force’s finding?

The GMTF report includes suggestions for further work in several areas, aimed at ensuring that European gas and gas derivatives markets continue delivering for European businesses and consumers including: 

• monitoring trends in algorithmic trading;
• the development of new market monitoring tools;
• the effective and timely implementation of the REMIT framework by EU Member States to prevent market abuse and ensure transparency in wholesale electricity and gas markets;
• the amendment of certain rules governing commodity derivatives trading (position management controls, position reporting); and 
• data sharing and cooperation between energy and financial supervisory authorities.

ACER publishes today its biennial gas congestion report, covering 2024 and 2025. The report assesses contractual congestion in EU gas markets, in line with the recast Gas Regulation.

ACER finds that contractual congestion eased in 2024 and 2025, pointing to a new equilibrium in the EU gas market following the 2022 market crisis.

What does congestion mean in gas markets? 

Gas network congestion can be either contractual or physical. Physical congestion occurs when gas flows reach the system’s technical limits. Contractual congestion occurs when demand for capacity rights exceeds the capacity offered in the market, even if the system may not be physically constrained.

In practice, contractual congestion means that network users may not be able to secure all the capacity they need to transport gas, forcing them to compete for it.

What are they key findings? 

The 2022–2023 crisis, followed by the EU’s gradual phase-out of Russian gas, rapidly reshaped the EU gas market. Liquefied natural gas (LNG) imports surged while demand fell sharply, leading to a reconfiguration of cross-border gas flows, with stronger west-to-east and coastal-to-continental flows. 

The optimisation of existing infrastructure and new investments helped absorb the shock. However, parts of the network still face residual congestion, reflecting the market’s continued adjustment to new supply and demand patterns. 

In particular, ACER finds that:

• 24 exit/entry sides of interconnection points were contractually congested in 2025 and 23 in 2024 (down from 35 in 2023 and 50 in 2022). 

• Network congestion persisted on key west-to-east routes and selected interconnection points in Southeast Europe.

• Congestion revenues stabilised at EUR 140 million (similar to 2023 levels).

• The capacity surrender scheme surpassed the oversubscription mechanism as the most used congestion management procedure. Surrender schemes allow users to return unused capacity for reallocation, while oversubscription allows additional capacity to be offered above technical limits based on potential unused capacity.

Possible ways forward to ease congestion

• Continuous coordination between neighbouring transmission system operators (TSOs) to jointly maximise available firm and interruptible capacities. 

• Regular updates by TSOs and ENTSOG on interconnection points characteristics and network usage. 

• Fully applying the Capacity Allocation Mechanism Network Code and congestion management procedure guidelines to retain the benefits and flexibility of capacity allocation at interconnection points.

• Careful assessment of investment needs where physical bottlenecks persist, taking into account the risk of asset stranding and considering the use of congestion revenues to help finance these investments.

What are the next steps?

ACER’s results can support national regulatory authorities when deciding whether to apply congestion management procedures.

ACER has published its 2026 Monitoring Report on European liquefied natural gas (LNG) market developments, reviewing key market trends in 2025 and the implications for Europe’s energy security, including the risks linked to tensions in the Middle East.

Worth highlighting, given there is much talk of EU data gaps, that ACER has the overview of EU LNG market. This annual ACER report shows that LNG has become central to the EU gas system as Europe continues to move away from Russian gas. At the same time, it highlights growing exposure to global LNG market risks, including supply concentration, spot market volatility and geopolitical disruptions.

Main highlights

• The EU imported a record 146 bcm of LNG in 2025, confirming LNG’s key role in Europe’s gas supply. The EU is the world's largest importer of LNG.
• Global LNG production increased by 36 bcm, the strongest annual growth since 2022.
• The United States supplied 58% of EU LNG imports in 2025, equivalent to around a quarter of total EU gas demand.
• ACER’s daily LNG price assessments (based exclusively on actual spot transactions) provide much needed transparency on the EU LNG spot price discovery. More than 980 spot LNG cargoes for delivery in the EU in 2025 were reported to ACER in 2025, up from 550 transactions in 2024.
• TTF, the Dutch gas trading hub, remained the main benchmark, used to price 74% of EU spot LNG trades.
• In a full-year Strait of Hormuz closure scenario in 2026, the global LNG market could face a net supply shortfall of 27 bcm compared with 2025, intensifying competition for spot cargoes.

ACER’s recommendations

Recent tensions in the Middle East show how quickly geopolitical crises can disrupt energy flows and drive up prices. In response, ACER underlines the continued strategic importance of REPowerEU and its three pillars for Europe’s energy security:

• Energy savings and efficiency, to reduce gas demand and lower vulnerability to external shocks.
• Diversification of supply sources, to avoid overreliance on individual suppliers or transit routes.
• Faster roll-out of renewable energy, to strengthen resilience by reducing dependence on imported fossil fuels.

For punchy overview of related issues like the impact of Hormuz on EU gas storage filling for winter 2026, see also the recent ACER key developments in European gas markets report (April 2026). 

ACER publishes its Opinions on requests from seven national regulatory authorities for derogations from applying EU gas network codes and guidelines at interconnection points with third countries. 

These requests have been submitted by the energy regulators of Bulgaria, Estonia, Hungary, Italy, Lithuania, Slovakia and Spain, and are addressed to the European Commission and ACER (in line with the Gas Regulation). 

The Regulation widens the scope of the existing EU gas network codes and guidelines, expanding their application to third countries’ entry and exit points, starting from 5 August 2026. 

If, for specific reasons (e.g. existing long-term contractual arrangements or legal difficulties in establishing a dispute resolution procedure with transmission network operators or natural gas suppliers established in third countries), the EU rules cannot be effectively implemented, national regulatory authorities can request a time-limited derogation.

What is the role of ACER?

ACER’s role is not to issue a recommendation nor to reject or grant a derogation – this is the task of the European Commission.

After receiving the derogation requests, ACER had three months to provide its opinion to the European Commission. To inform its decision-making process, ACER conducted an extensive review of each request, held bilateral discussions with the relevant national regulatory authorities and applied a harmonised approach while considering the specifics of every Opinion.

For the details of each country, see the full text of the individual ACER Opinion. In brief, ACER considers that in Hungary and Bulgaria the relevant network codes have been implemented to the maximum extent possible to date, until certain EU rules are not implemented simultaneously by the neighbouring transmission system operators.

For Estonia, Italy, Lithuania, Slovakia and Spain, ACER has carefully examined the requests and their specific conditions, providing detailed inputs to the European Commission to support the Commission’s decision.

What are the next steps?

The European Commission will decide whether to grant the derogations, taking into consideration the input provided by ACER.

ACER's latest gas Monitoring Report covers trends in winter 2025-2026. A key is the impact of the evolving Middle East conflict and the closure of the Strait of Hormuz on European gas markets.

This analysis helps inform decision makers on strategies to ensure secure and competitively priced gas in the EU.

What did ACER’s monitoring find?

The EU is vulnerable to energy shocks. To date the 2026 energy crisis is not at the same level of magnitude as the 2022-2023 crisis.

• The Middle East conflict crisis could cut 20% of global LNG exports: EU sourced 7% of its LNG from Qatar during winter 2025/2026, equivalent to 4% of its natural gas imports over the same period. If Qatari production remains offline until December 2026, a global LNG supply shortfall of 26 bcm could arise and EU spot LNG demand could rise to around 56 bcm. Europe’s exposure to further price increases will depend on the duration of the conflict.
• Title Transfer Facility (TTF) gas prices peaked above 60 EUR/MWh after attacks on energy facilities: Price volatility is expected to remain high amid continued uncertainty.
• Competition with Asia for flexible LNG cargoes could push prices up: This could make Europe's summer storage filling more challenging, as heightened competition for flexible LNG cargoes threatens to push prices up further.
• EU underground gas storage ended winter below 30%, due to both higher reliance on gas use for power and a cold winter. EU gas stocks are near a 9-year low.
• Storage targets for the next winter, in accordance with the EU Gas Storage Regulation, may put upward pressure on prices this summer.
• Europe could achieve 80% storage levels at current LNG import rates (~11 bcm/month). Reaching the 90% target would be difficult without additional supply sources. 
• EU gas demand rose slightly year-on-year to around 2400 TWh: This increase was mainly driven by higher gas use in power generation and for heating, due to a colder-than-average winter. 
• Europe’s reliance on US LNG grew amid the phase-out of Russian gas imports. US LNG now accounts for 30% of EU gas imports and about two-thirds of its LNG imports. Russian gas flows continued to decline, falling close to 240 TWh (but still around 14% of total EU gas imports).
• In Europe, gas flows continued to shift away from eastern pipeline supply and to LNG entry points, resulting in higher west–east cross border flows. This shift was also reflected in wholesale market signals, with price spreads in Central Europe widening to over 2 EUR/MWh above the TTF benchmark.

Looking ahead

• Heightened price volatility: European gas prices will remain highly sensitive to global shocks. The Middle East conflict and strong competition with Asian markets for flexible LNG cargoes will be the main drivers of price spikes.
• Costly storage refills: While reaching the 80% storage target ahead of next winter is feasible, lower starting storage stocks and tight global supply mean that filling storage over the summer will likely come at a premium cost and be more vulnerable to sudden market disruptions.
• Geopolitics and supply shifts: Europe's structural pivot away from Russian gas supply will continue. In January 2026, the EU adopted a regulation introducing a gradual and permanent ban on Russian pipeline and LNG imports. This deepens the EU’s reliance on US LNG imports and maintains a west–east and coastal–continental gas pipeline flow in Europe.

Today, ACER releases its report on the Latvian gas transmission tariffs, evaluating compliance of the proposed reference price methodology (RPM) with the requirements of the EU Network Code on Harmonised Transmission Tariff Structures. 

What is the proposed methodology?

The Latvian regulator proposes to:

• Apply a uniform entry tariff of 142.77 €/MWh/d/y at all entry points within the Finnish-Estonian-Latvian (FinEstLat) market area, while removing tariffs at interconnection points within the area. 
• Apply a reference price methodology to set tariffs for domestic exit points and for renewable and low-carbon gases’ injection points.
• Grant full tariff discounts (i.e. zero tariffs) for entry points from and exit points to storage facilities.
• Set the exit tariff to Lithuania using the same FinEstLat entry tariff (142.77 €/MWh/d/y).
• Replace the current commodity-based tariffs (linked to the volume of transported gas) at domestic exit points with new capacity-based tariffs (charged for contracted network capacity).

What are the key findings? 

ACER concludes that: 

• The consultation document does not provide all required information, including on the:
  • comparison with the capacity-weighted distance methodology;
  • impact of the FinEstLat tariff structure on cross-subsidisation; and 
  • method used to forecast contracted capacity. 
• The proposed methodology complies with EU requirements on non-discrimination and volume risk. 
• However, it does not comply with the requirements on cost-reflectivity, cross-subsidisation and cross-border trade.

What does ACER recommend? 

ACER recommends that the Latvian energy regulator, when adopting its final decision:

• Follow ACER’s previous guidance (2023) on the FinEstLat market merger, monitoring how changes in gas flows could affect cross-subsidisation between networks.
• Switch to a capacity-based tariff system, allowing for a transitional period (if needed).
• Improve transparency by publishing the capacity-weighted distance components used in the cost allocation assessment.
• Compare capacity forecasts with those of neighbouring regulators and explain any differences found at the interconnection point with Lithuania.

Next steps

The Latvian regulator needs to adopt its final decision in time to publish the gas transmission tariffs by 6 June 2026.

See all ACER reports on national tariff consultation documents.

On 20 April 2026, ACER will open a public consultation on amendments to the gas network code on interoperability and data exchange. The aim is to assess the need to amend the network code to reflect recent regulatory and market developments.

Why is this relevant?

The Interoperability and Data Exchange Network Code establishes the framework for operating the EU gas network and exchanging information between network users. Since its adoption in 2015, European gas markets have changed, driven by:

• an evolving regulatory framework (2024 Gas and Hydrogen Regulation);
• the EU’s decarbonisation ambitions; and
• the introduction of a new European standard on gas quality (CEN EN 16726).   

The European Commission invited ACER to assess whether the network code remains fit for purpose in light of these developments or if amendments are needed.

This consultation will support ACER in its assessment, ensuring that any amendment proposals are practical and aligned with market needs.

Have your say!

The public consultation will run from 20 April to 20 May 10 June 2026 (deadline extended on 19 May).

ACER will analyse the feedback received and evaluate the next steps for the network code review.

ACER kicks off its 2026 Monitoring Report series with key insights into the EU energy markets, highlighting major developments in 2025 and examining the interplay between gas and electricity markets in the energy transition.

What are the key findings?

The report shows solid progress in Europe’s clean energy transition. It also underlines persistent structural challenges (such as price volatility, system flexibility and supply risks) and how to address them.

• Wholesale energy prices continued to decline, but global competitiveness remains a challenge, with both gas and electricity prices structurally higher than in the US.
• Household gas and electricity prices remain high despite falling wholesale prices.
• Renewables lead the power mix, providing 50% of total EU electricity generation. Solar drives the energy transition, with investments in solar generation rising by 41 TWh compared to 2024. 
• Electricity price volatility increased: Daily wholesale power price swings were around five times higher than in 2020, highlighting the growing need for flexibility. 
• Gas provides evening flexibility: As solar generation drops in the evening, gas-fired power plants are increasingly used to meet demand, pushing wholesale prices upward.
• Extreme weather drives price spikes: A heatwave on 1 July 2025 reduced cooling efficiency at thermal and nuclear plants, pushing power prices in Poland to around 470 EUR/MWh. 
• Regional price differences highlight the value of interconnections: Different generation mixes and system flexibility across countries offer opportunities when systems are well interconnected. 
• Gas markets remained stable, with hub spreads generally below 2 EUR/MWh.
• EU slashed its reliance on Russian gas, replacing it with global LNG: Russian pipeline imports to the EU fell by about 162 TWh compared to 2024 and were fully offset by record-high LNG imports.
• Low year-end gas storage: Heavy winter withdrawals left storage levels 10% below 2024.

What are ACER’s recommendations? 

To support global competitiveness and decarbonisation, Europe should step up efforts to expand energy market integration:

• Make energy prices more efficient and transparent: Ensure efficiency across all price components (energy and supply, network charges and taxation) to improve household affordability and industrial competitiveness.
• Harness flexibility: Expand demand response, electric vehicles (EVs) and battery use to balance supply and demand, reduce price swings and strengthen grid resilience.
• Strengthen market integration: Expand interconnections to support cross-border use of renewables, reduce fossil fuel dependence and improve system flexibility and security.
• Diversify gas supply: Higher LNG supplies replaced Russian pipeline gas but increased reliance on US LNG imports. Greater supply diversification, including domestic decarbonised gases, would reduce vulnerability and mitigate the impact of global price volatility.
• Reduce reliance on conventional gas: With gas consumption still well above 2030 targets, further action is needed to cut demand and accelerate the uptake of renewable gases.

Today, ACER issues its Opinion on the EU DSO entity’s draft statutory documents updated to include gas and hydrogen. 

Why update these documents?

The EU DSO entity was created in 2019 by the Clean Energy Package to facilitate cooperation among European electricity distribution system operators (DSOs). The Hydrogen and Decarbonised Gas Market Package (2024) expanded the entity’s scope to include natural gas and hydrogen DSOs, requiring an update and resubmission of its statutes and rules to ensure fair and balanced representation of all operators. The updated documents were submitted to ACER and the European Commission in November 2025.

What’s the role of ACER?

ACER is mandated to provide an Opinion on the EU DSO entity’s updated draft statutory documents.

To inform its assessment, ACER conducted a consultation from 21 November to 19 December 2025, seeking input from organisations representing all stakeholders, in particular distribution system users (including customers).

What’s ACER assessment?

ACER considers the proposed governance amendments a reasonable adaptation to reflect a broader, more diverse membership and expanded tasks.

ACER welcomes steps to broaden DSOs’ participation in the EU DSO entity’s sector-specific activities through the creation of electricity and gas/hydrogen Councils and revised decision-making processes to reduce majority dominance.

However, ACER notes that the new decision-making arrangements may increase the risk of deadlocks and that certain provisions of the updated draft documents do not consistently reflect the rules set out in the Electricity Regulation.

What are the next steps?

This ACER Opinion is addressed to the European Commission, which has three months to provide its final assessment. If favourable, the EU DSO entity then has three months to adopt and publish the updated statutory documents.

Today, ACER releases its report on the Danish gas transmission tariffs directed at Energinet, Denmark’s transmission system operator (TSO).

The report assesses the compliance of the proposed reference price methodology (RPM) with the requirements of the EU Network Code on Harmonised Transmission Tariff Structures (NC TAR).

What is the proposed tariff methodology?

The Danish TSO proposes to:

• Apply a uniform postage stamp reference price methodology with an ex-post entry-exit split, combined with discounts for gas storage facilities.
• Continue recovering transmission revenues through capacity-based tariffs only, meaning users pay based on the network capacity they book, not the volume of gas they transport.
• Maintain the existing joint market zone, which integrates the upstream section of the Baltic Pipe (the pipeline connecting Norwegian gas to Poland via Denmark) into the Danish entry-exit zone. Costs of this infrastructure continue to be covered by network users through a separate non-transmission tariff.
• Keep two non-transmission services in place: upstream Baltic Pipe infrastructure and emergency gas supply.
• Continue offering ex-ante discounts for interruptible capacity in steps (5% intervals). This allows users to book extra capacity at reduced prices that can be used when the network is not fully utilised, though it may be interrupted if users with guaranteed capacity rights need network access. 

What are the key findings? 

After analysing the consultation document, ACER concludes that: 

• The proposed methodology meets EU rules on transparency, non-discrimination and volume risk.
• Compliance with the requirements on cost-reflectivity, avoidance of cross-subsidisation and the prevention of cross-border trade distortions cannot be fully assessed due to lack of detail on the upstream infrastructure.
• There is insufficient information to assess whether the proposed pricing for the upstream non-transmission services complies with network code principles. 
• The proposed emergency supply tariff falls outside the scope of the network code framework (which covers transmission and non-transmission services provided to network users), as it pays for a security-of-supply service provided directly to end users.

What does ACER recommend? 

ACER recommends that the Danish national regulator (DUR), when adopting its final decision on the proposed methodology:

• Ensure the upstream Baltic Pipe is overseen with similar transparency and scrutiny to the main transmission network, as its costs are also covered by transmission network users. 
• Handle emergency supply tariffs separately from standard network fees, as they serve end users (not network users) and thus fall outside NC TAR rules.
• Adjust discounts for interruptible capacity using the network code formula to better reflect the actual risk of interruption.

See all ACER reports on national tariff consultation documents.