European energy markets from natural gas to carbon permits jumped to records, signaling the supply shortage will get worse just as the winter season starts.

Stockpiles of everything from gas to coal and Norwegian water for electricity production are dwindling and there are few signs the situation will improve anytime soon as demand continues to roar back from a pandemic-driven lull.

“Europe’s supply-demand balance will remain unusually tight heading into the winter, adding further price pressure to a market already at record highs,” BloombergNEF analysts wrote in a report published Tuesday.

Many of the U.K.’s smaller energy suppliers have collapsed, while some French electricity retailers are struggling to supply clients and are also at risk of folding. Meanwhile, Europe’s miners have warned that the unprecedented prices could

Read More At Article Source | Article Attribution