The European gas price rose by more than 70 percent to new record today due to the war in Ukraine and fears of disruption of Russian gas supply to Europe. The price of gas on the leading gas exchange in Amsterdam is now more than 335 euros per megawatt hour.
The gas price also reached records last week. Friday with 213.90 euros per megawatt hour. Then it dropped a bit again. On Wednesday it was 194 euros per megawatt hour. The United States and its allies are considering banning Russian oil imports. As a result, oil prices are also rising sharply. When Russia invaded Ukraine last week, gas prices initially rose sharply, from $ 87 per megawatt hour to more than $ 130.
In addition to gas, prices of copper, aluminum and nickel also rose to new records on Monday due to fears that supplies from Russia will be affected by Western sanctions over the war in Ukraine. Russia is a major producer of the metals that are widely used in, among other things, industry and construction.
The price of a tonne of copper used for telecommunications cable, for example, rose to $ 10,790 on the London metal market, beating the old record set in May last year. Aluminum now costs more than $ 4,000 per. ton. This lightweight metal is widely used, for example, for the production of cars and aircraft, but also for building materials.
The nickel price has also reached a new record with more than $ 37,000 per. ton. Nickel is used, among other things, for batteries and the production of stainless steel. Prices of metals such as zinc and tin also rose further due to the unrest around Ukraine.
Gas and electricity prices have risen explosively since July. For example, many consumers now pay gas prices well above 1 euro per liter. cubic meters. Until August, the gas price was below the euro per cubic meters and in early 2021 it was small shillings below.
The rise in European gas prices could again have consequences for consumers. The sharp rise in energy prices has already been fatal for several energy suppliers in recent months. Their customers were taken over by other suppliers but were faced with much higher tariffs.
Fenor Energie, which is mainly known in the Nordic countries and has Olympic champion Suzanne Schulting as its galleon figure, was forced to file for bankruptcy in December. The Dutch Consumer and Market Authority (ACM) withdrew all supply licenses. It was the fourth energy company to collapse due to rising gas and electricity prices. The first and biggest victim was Welkom Energie, which filed for bankruptcy in late October. The 90,000 customers were taken over by Eneco, which subsequently charged them sky-high electricity and gas prices. It immediately led to an exit of thousands of customers.
The much smaller suppliers Enstroga and Sepa Green Energy were the next victims. Anode Energie also fell, but this was only indirectly related to the high energy prices. After a supplier of this company was unable to meet its obligations, there was not enough money to buy energy in the current market.
The reason for this price increase is the booming global economy, which has caused the demand for gas in Asia and North America to increase enormously. At the same time, gas reserves were not sufficiently replenished due to the relatively harsh winter last year. They are currently only half full. In addition, Russia, which is responsible for 40 percent of European gas, keeps its hand on the gas tap and does not increase supplies to Europe.
Gas consumption depends, among other things, on the size of your house, your family composition and how much you spend. According to Milieu Centraal, a Dutch household consumes an average of 1239 cubic meters (m3) of gas each year. Divided into 365 days, this corresponds to an average consumption of 3.39 cubic meters of gas per day. day. A household uses an average of 270 cubic meters of gas for hot water. One cubic meter of natural gas corresponds to an average of 10.2 kWh and 0.0097694 mWh.
Most Dutch people are also willing to pay more for petrol and gas, for example, due to the sanctions imposed on Russia, EenVandaag reports based on a poll of more than 21,000 people. Even though the Russian invasion is going to take a long time, and the sanctions therefore last a long time. Many people argue for compensation, especially for the lower income groups.
Watch our videos about the war in Ukraine in the playlist below:
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