Europe is once again teetering on the edge of an energy crisis as natural gas prices hit a two-year high, proving that short-term thinking and political posturing remain the continent’s favourite strategy. After battling sky-high bills, persistent inflation, and a crippled industrial sector since the great energy fiasco of 2022, European leaders now find themselves staring at yet another avoidable mess—one of their own making.

Gas reserves are depleting at a worrying rate, and with every cubic metre burned, the challenge of refilling them grows. Yet, summer gas prices are so steep that even major energy firms like Uniper and Eni see no financial incentive to stockpile fuel. The result? Governments will inevitably be forced to step in because when markets don’t align with Brussels’ energy fantasies, public money must.

Meanwhile, traders are scrambling to hedge against further price surges as Europe’s brittle energy system, now hooked on intermittent renewables, proves as resilient as a house of cards in a storm. Add to that a colder-than-expected winter, reduced Russian gas flows via Ukraine, and looming trade disputes with the US, and suddenly, even the once-taboo idea of restarting Russian imports is creeping back into the conversation.

Four years ago, in a fit of transatlantic loyalty, Europe proudly severed its energy ties with Russia, aligning itself with Washington’s hardline stance. It was a bold, principled move—or at least, that’s how it was sold. Fast-forward to 2025, and a new US administration is in place, which predictably has shifted priorities. Meanwhile, Europe finds itself stuck with the consequences of a decision made to impress a Washington that has already moved on.
The once-mighty industrial backbone of Germany? Running on fumes, manufacturers are either scaling down or setting up shop elsewhere. The grand renewable energy revolution? Nice in theory, but with unpredictable supply, sky-high transition costs, and storage infrastructure still in its infancy, it’s about as reliable as a coin toss. And now, with gas prices soaring again, European leaders are scrambling to plug the energy gap without admitting they were wrong.

The Americans, naturally, are doing what serves their interests—which, in this case, means prioritising their energy security, promoting domestic production, and exploiting their LNG exports. Washington is not losing sleep because Europe is overpaying for American gas while its own industries buckle under energy costs. The US never needed Russian energy in the first place, so aligning with their position was always a European self-inflicted wound.

Even worse, Europe’s moral stance has proven conveniently flexible. While Brussels lectures the world on energy ethics, Russian LNG still flows into the continent, often through third-party nations, because—spoiler alert—reality doesn’t care about political statements. The hypocrisy is almost as staggering as the gas bills.

And now? Some European leaders are whispering about reopening discussions on Russian gas transit through Ukraine, a move that four years ago would have been considered treasonous but now looks like sheer survival. Of course, it will be framed publicly as a “pragmatic adjustment” rather than an admission of failure.
Europe wanted strategic autonomy, yet four years later, it is more dependent than ever on expensive US LNG, volatile Middle Eastern supplies, and erratic weather patterns for its wind and solar production. Meanwhile, the Americans have already moved on to the next geopolitical dispute, leaving their European allies to deal with the wreckage of a policy they championed but never had to endure.
If this was supposed to be a masterclass in European sovereignty, it’s turning out to be more of a cautionary tale—one in which loyalty to Washington comes at a very steep price, both economically and politically.

In classic European fashion, the continent is again sleepwalking into a crisis, shocked when reality refuses to match its ideological energy policies. If this is the great energy transition, it’s looking less like a success story and more like a well-rehearsed disaster movie with a painfully predictable ending.