Gas supply disruption could cost British manufacturers around £6.4bn in lost output, according to the UK’s National Grid.
The company said last week that it expected natural gas production to drop by 3.5 per cent in the first quarter of 2019 due to disruptions in the supply chain.
Natural gas is a gas that is extracted by pumping water, steam and chemicals into the ground, with a concentration of about 100 per cent.
Natural gas shortages have been a persistent issue for Britain, particularly since 2014 when a huge gas leak at a coal-fired power station in West Sussex killed 13 people and shut down many parts of the country.
But in recent months, a surge in gas production has helped to ease the pressure on the energy market, with gas output rising to a record 1.35bn cubic metres in July.
The energy regulator, Ofgem, said last month that the government had pledged to raise the price of gas by as much as 5 per cent to reflect the cost of natural gas shortages.
The UK’s Natural Gas Authority has also announced that it would review the gas pricing regime to reflect its new understanding of the risks of gas shortages, according, according.
The regulator also said that a new natural gas pipeline project in Wales, which is also part of the gas supply chain, will increase supplies to the Welsh grid.
The gas shortage was a major issue for energy companies in the UK and abroad.
In March, the energy company RWE said it expected its UK natural gas business to lose up to £5.6bn over the next four years.
The energy regulator said that could be attributed to the loss of a pipeline that carries gas from the US state of North Dakota to the eastern US states of Ohio and Illinois.
Last month, RWE warned that the price increase for natural gas would be much higher than the government has said, as the price for natural is expected to rise by more than 5 per on average in 2020.