On June 30, European energy markets were bracing for a challenging summer as an intense El Niño pattern threatened to bring soaring temperatures, coinciding with fragile supply conditions . Natural gas storage inventories across Europe stood at only 48.3% full, compared with 57.8% a year earlier, leaving the region highly vulnerable to demand spikes from cooling . TTF gas futures spiked to €38 per megawatt-hour as the market priced in the twin risks of heat and supply uncertainty . The ongoing Middle East tensions continued to impact LNG supply availability, with no clear resolution in sight . Spot power prices in Germany and France traded at €120–150 per megawatt-hour, reflecting the tightening supply-demand balance . The risk of nuclear plant curtailments during extreme heat and the upcoming announcement of sweeping reforms to the EU's carbon market added further uncertainty to the outlook . Analysts recommended that policy makers accelerate the installation of renewable capacity and battery storage to mitigate the risk of blackouts . The coming weeks will be critical in determining whether Europe can navigate the summer without major energy disruptions .