Gas Price

A gas customer, just like a buyer of electricity, has to pay attention to network costs and supplier costs.  The network costs are largely determined by the government and supplier costs are based more on supply and demand.  The purchase of gas means paying attention to the supply of gas.  The supply of gas usually consists of two price factors, namely the provision of commodities and services.

1.  Agreement for the supply of gas (the commodity contract) 

2.  Agreement for the cost of capacity and transportation of gas on the national network (the service contract).  This means, unlike electricity, a contract will be with the same supplier as the commodity contract.

Both contracts are negotiable and may vary between providers.

The prices for the commodity contract are often based on a reference price from Gasterra (a named formula) or on the TTF gas market.  Gasterra has formulas that are based on fuel and diesel prices.  Gas prices in these formulas are linked to the market price for oil.  The TTF is much more based on specific supply and demand within the Dutch market.  Gas prices can be determined then in several ways. 

Normally gas prices/formulas are fixed for several periods ranging from 1 to 3 years.  It should be noted a distinction is made between small and large consumers, namely differing pricing structures for both transport and the electricity

Hellemans Consultancy follows the daily trends in the gas market.

Do you want to know if you can get a better energy contract?  Please contact us.