June 18, 2024

Taylor Daily Press

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The declining trend gives hope: Has the shift in gas and electricity prices begun?

The declining trend gives hope: Has the shift in gas and electricity prices begun?

On Friday, the Flemish energy organization VREG announced that the average annual energy bill has been reduced by 2,400 euros. And also futures contracts, which give an idea of ​​future prices, continue their downward trend. I don’t think we’ll go back to higher prices this summer this winter. Although it is still historically high.”

Christoph Simons

Admittedly, not a single bird makes a spring. This applies even more to energy prices. But the big drop in the average annual energy bill – from more than €9,200 for those who signed an annual contract in September to 6805 in October – is already a boost.

Read also. Energy expert warns: ‘Next winter, this will be the biggest problem’

“September prices were based on the situation at the end of August, when there was significant market turmoil,” says guest trader Matthias Determey from Elindus. “Thanks to lower wholesale prices. Futures contracts are also moving in a downtrend.” According to the energy specialist, this has several explanations: “The fact that Europe is now gradually working towards a price ceiling of 180 euros per megawatt-hour, the fact that gas reserves are completely full, and above that the weather conditions are not so bad – with higher than expected temperatures And the high winds – caused the actual cost prices to fall.”

Read also. The average annual energy bill drops 2,400 euros

Although it is still very difficult to predict the near future: “November is usually a month with little sunlight and wind. If the temperatures are much lower than usual, it may affect prices again. Although I don’t think we will return to Prices are rising this summer this winter. Although historically they are still high.”

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