Retail gas prices are seen increasing by at least 100 percent in October, compared to a year earlier, the lowest level at present being 40 euros per MWh, double the level of a 20-euro per MWh price in the equivalent month last year.
The situation, caused by an unfavorable combination of factors in international markets, is truly alarming as market officials admit not being able to forecast any limit to the upward trajectory.
Natural gas prices at the pivotal Dutch TTF platform yesterday reached 75 euros per MWh, up from 40 euros per MWh in July, 50 euros per MWh in mid-August and 60 euros per MWh in the first ten days of September.
The price surge appears set to come as a shock for natural gas consumers between October and December. It places many gas companies, especially smaller ones, under extreme pressure, and is a major headache for the government, which could need to deliver a new round of subsidy support measures as a follow-up to initial 150 million-euro support action offered to help consumers combat higher electricity prices.
Gas company officials insist that, even under such extreme market conditions, gas will remain a lower-cost option compared to heating fuel.