Gas storage refers to the process of storing natural gas in large quantities for later use, typically in underground facilities. It plays a critical role in ensuring a reliable energy supply by balancing seasonal demand fluctuations, managing unexpected supply disruptions, and supporting market stability.
Importance:
- Seasonal Demand Management: Gas storage helps meet higher demand during winter months or peak consumption periods.
- Energy Security: Provides a buffer against supply disruptions caused by geopolitical issues, weather events, or infrastructure failures.
- Market Flexibility: Allows for price stabilization by storing gas when prices are low and using it when prices rise.