Critical shipments of gas are being turned away from British ports because National Grid fears it will be overwhelmed by supplies intended to tackle the European energy crisis.
The Telegraph says the Grid has cut the amount of liquid natural gas (LNG) it is accepting at Milford Haven terminals in Wales over fears that it is running out of storage for millions of tonnes of fossil fuel meant to replace Russian deliveries across the Continent.
It dramatically reduced the amount of capacity offered at the port in June at an auction held last Wednesday.
Energy companies expect further reductions at the country's three LNG terminals south of the border in the coming months, even as oil and gas-rich countries offer to ramp up supplies.
The Grid's limits on imports have sparked a backlash from global energy companies including ExxonMobil, RWE and Petronas, which have warned that it risks making the cost-of-living crisis worse by driving up energy prices.
It is also feared that lower supplies will undermine efforts in Whitehall to make Britain an LNG gateway for the whole of Europe.
The Grid has consulted energy companies on the policy of accepting less gas.
ExxonMobil policy adviser Chris Wright said: "There is a risk that the reduction in supply to the market could result in upward pressure on (British) wholesale prices, which could ultimately feed through to end consumers.
"The very fact that this change proposal has been raised risks significantly undermining efforts to deliver LNG to the UK market, and for onward transmission to wider European markets, at this time when LNG has never been in greater demand."
The war in Ukraine has sparked a race for LNG so European countries can reduce their reliance on supplies sold by the Kremlin.
Countries are working together to increase shipments from the likes of Qatar, with Britain a particularly-important player because it is able to accept gas at terminals and then pipe this to countries such as Germany, which has no ability to process LNG.
However, National Grid fears the country's energy network may be unable to handle a high level of deliveries over summer, potentially forcing it to pay compensation to energy companies.
FTSE 100
Brent crude futures were down just under 1% at $110.47 at a barrel earlier today.
Britain's top share index, the FTSE 100, was 46 points at 7,371 shortly after trading resumed this morning, following Friday's 184-point surge.
Companies reporting today
- Half-year results: Diploma, Finsbury Growth & Income Trust
- Trading statement: Greggs