German energy regulator sees gas prices rising after Russian moves

Russia's move to cut supplies to Denmark and energy company Shell could drive up prices for natural gas in Europe, according to the German agency that regulates energy and telecommunications.

The amount of gas being traded in Europe could gradually decrease, Federal Network Agency president Klaus Müller told Berlin's Tagesspiegel newspaper in remarks to be published on Tuesday.

"If the screw is turned further, even if only in small steps, gas will become even more expensive," he said.

Müller said he was not currently concerned that Russia would cut Germany off from gas supplies. "Gas flows are stable at the moment," he said.

Germany and some other European countries depend heavily on Russian gas supplies and many are seeking alternative sources.

But Müller added that he was unable to make reliable predictions. "I won't venture any prognosis that goes beyond the next 24 hours," he said.

At the beginning of the month, Russian state-owned energy giant Gazprom halted the supply of gas to Danish utility Ørsted and Shell Energy Europe after Ørsted and Shell refused to pay their invoices in roubles as demanded by Moscow.

The step came in response to tough sanctions imposed by the EU due to the war in Ukraine, launched on February 24.