Liquefied natural gas (LNG) imports are increasingly used as an indicator for Southeast European electricity markets. In Week 26, LNG inflows were 713.09 GWh in Greece, 4,222.43 GWh in Italy, and 641.61 GWh in Croatia. Italy’s weekly LNG imports rose by 5.45%, Croatia increased by 0.9%, and Greece fell by 1.3%.
LNG supply conditions are linked with electricity balancing needs when demand increases and other generation sources do not fully cover additional load. Week 26 showed a rise in gas-fired output across Southeast Europe, with gas-fired electricity generation up by 25.5%. LNG terminals therefore play a role in supporting both gas supply and electricity system requirements during periods of peak demand.
LNG volumes and wholesale prices in Italy
Italy remained the region’s largest LNG importer during Week 26, with weekly inflows exceeding 4.2 TWh. Even with that supply position, Italy’s wholesale electricity price averaged €144.67/MWh over the week. Gas-fired generation in Italy increased by 47.5%.
The weekly price outcome reflected multiple market drivers alongside fuel availability. Electricity prices continued to align with fuel costs, carbon prices, power plant availability, and tight supply conditions during peak demand hours.
Greece and Croatia: LNG changes alongside power generation mix
Greece’s LNG infrastructure supports both domestic electricity generation and gas supply across the wider Balkan market. LNG imports declined slightly versus the previous week, while Greece maintained relatively competitive electricity prices compared with several neighboring markets. Stronger wind and hydropower production helped moderate prices during the same period.
Reliable LNG supplies also supported balancing as electricity demand fluctuated. In Croatia, LNG inflows increased modestly to 641.61 GWh. Croatia recorded elevated electricity prices while relying more on thermal generation during Week 26.
LNG infrastructure’s role in power system flexibility
LNG infrastructure affects how electricity systems manage periods of extreme demand without triggering severe price volatility. For policymakers, LNG import terminals, gas transmission networks, storage facilities, and flexible gas-fired power plants contribute to that capability. The relevance increases as countries expand renewable energy while maintaining reliable electricity supply.
Industrial electricity consumers are advised to track LNG market developments alongside wholesale electricity prices, hydrological conditions, and renewable generation forecasts. Stable LNG imports can reduce the likelihood of physical gas shortages, but they do not remove price volatility when global LNG competition intensifies or European gas storage remains below seasonal averages.
In markets where gas-fired generation frequently sets marginal electricity prices, LNG availability becomes a factor for electricity procurement and risk management strategies. Week 26 illustrated close interconnection between LNG infrastructure and electricity market dynamics across Southeast Europe through changes in inflows and generation levels.
Elevated by Virtu.Energy