Categories: Market

Significant reassurance: Gas costs only one-tenth on the market

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Gas imports from Russia to Europe have fallen significantly since the outbreak of the Ukraine war. (icon image)

At the high point of August 2022, even the price of the “pre-month” contract, called next month delivery in technical jargon, rose to almost 350 euros. The price has now dropped significantly, but is still above spring 2021 levels at just under 20 euros per megawatt hour.

The price has continued to rise since the summer of 2021. It exploded in the summer of 2022, after war broke out in Ukraine in February 2022, and then with concerns about the abrupt termination of all Russian gas supplies to Europe.

It’s hard to predict what will happen next. Because: At the request of the AWP news agency, the MET Group said, “There are a number of factors that will play a role in the further development of gas prices in the near future.”

A big question for European prices is whether gas supply from Russia, which has already fallen sharply, will continue to decline and whether LNG (“Liquefied Natural Gas”) demand in Asia will rise sharply, as well as how natural gas demand will be. According to the Zug-based energy supplier, gas used in industry and homes in Europe is crucial.

(SDA)

Source :Blick

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