The name of the Petroleum Stockpiling Act (EBG) says it all. But the changeover to other energy sources is in full swing. The EBV calls for a reorientation of the legal requirements.
After years of market turbulence, the past financial year 2023/2024 was relatively calm for the German Petroleum Stockpiling Association (EBV). According to Volker Ebeling, Chairman of the EBV Advisory Board, there were no acute supply crises. The consequences of the war in Ukraine – in particular the loss of Russian oil imports and the restructuring of supply routes – continue to shape the industry. Even though these challenges are now being well managed, other developments are a cause for concern: an uncertain economic situation and signs of deindustrialization that are putting a heavy strain on supply chains and value creation structures.
Ebeling pointed out that the first capacity reductions were becoming apparent in the automotive and basic materials industries in particular, as well as in the refining industry. This development raises questions about long-term security of supply, which are increasingly concerning the EBV and its committees.
Challenges of the energy transition
The Petroleum Stockpiling Act (EBG), which was passed 46 years ago, dates back to a time when oil was the primary energy source. It is therefore not surprising that the term “energy transition” does not appear in it, said Ebeling. The stockpiling strategy focuses exclusively on conventional liquid energy sources such as crude oil, petrol, diesel and heating oil. Accordingly, the task of the German Petroleum Stockpiling Association is clearly defined. “The name here is very clearly the program,” Ebling clarified.
But change is already underway. Ebeling pointed to forecasts that demand for conventional energy sources will fall by around half by 2040 – excluding aviation fuel. In contrast, the overall energy demand will hardly decrease or not at all. Other energy sources – especially renewable electricity and hydrogen – are planned to close this gap, but so far they are not strategically secured centrally or reserved for crises, provided that storage is even possible.
The energy transition requires a reorientation of strategic stockpiling, of this the EBV is convinced. New energy sources need to be considered. The EBV sees potential in the extended use of existing cavern storage facilities for hydrogen storage. Such steps could help to secure the energy supply.
Statutory mandate “fully met”
In the past 2023/2024 financial year, the Petroleum Stockholding Association fully met its legal mandate. At the end of the financial year on March 31, 2024, stocks of crude oil and petroleum products amounted to 21.0 million tons of crude oil equivalent. This means that more stocks were held than required by law (+4.8 percent).
Until June 30, 2024, the stockholding requirement was 20.071 million tons of crude oil equivalent (COE). For the period from July 1, 2024 to June 30, 2025, the stockholding requirement communicated by the Federal Office of Economics and Export Control (BAFA) was reduced to 19.483 million tons of COE (-588,000 tons). The recent significant decline in the stockholding requirement is “surprising” at this level, said EBV board member Britta Timm. In this context, she referred to the net imports of the official mineral oil statistics of the BAFA, which, up to and including November 2023, “expect an essentially constant or only slightly declining stockholding requirement”.
The EBV intends to respond to the overstocking – the existing overstocking will increase even further due to the reduction in the stockholding obligation from July onwards – by selling “property stored underground” in the coming months.
The uniform contribution rate for petrol, diesel, heating oil EL and jet fuel Jet A-1, which was introduced when the revised Petroleum Stockholding Act came into force on April 1, 2012, remained unchanged at 3.56 euros per tonne in the past financial year.
Personnel changes at EBV
After 13 years on the EBV board, Dr. Dirk Sommer resigned from the board on October 1, 2024. Ebeling expressed “thanks and appreciation for his services to the Erdölbevorratungsverband” on behalf of the advisory board. He was succeeded on the board by Dr. Niels Hartung, who was previously managing director / CFO of RDC Deutschland GmbH.
There has also been a change on the EBV advisory board. Dr. Annette Flormann-Pfaff, who left the advisory board on August 30, 2024, was replaced by Ronny Hauck (ExxonMobil Central Europe Holding GmbH), who was proposed by the Fuels and Energy Trade Association (en2x).
