Gas surged to nearly 50 euros per MWh on the Dutch TTF before falling to more than 40 euros at market close on Thursday on rising demand in China and supply shortfalls from Norway, which has extended maintenance on gas facilities until mid-July.
Dutch energy utilities have been adjusting price contracts for households to account for gas price fluctuations, media reported. A three-year contract that cost 299 euros a month on June 5 now costs 309 euros, and the price of shorter-term contracts is expected to rise if gas prices remain high.
All the signs are that the gas market is tightening again, media suggested.
The Netherlands has become increasingly dependent on liquefied natural gas supplies from the United States and Qatar after ditching Russian gas. Now that the Chinese economy has finally begun to rebound from the COVID-19 lockdowns, it is scooping up LNG contracts that were sold on to Europe in 2022.