In the Netherlands, electricity and gas prices have been increasing throughout 2022. Now, electricity costs are rising to new records as those for gas fall sharply.
The Netherlands saw an increase of 20% in energy prices in just the first three months of the year.
After that, energy companies began raising their variable rates from 20% to 30% — causing residents to experience soaring energy bills.
Today, international markets are dealing with skyrocketing electricity prices. Traders pay €1,000 for a megawatt-hour (MWh) of German electricity. In comparison, traders paid €200 at the start of the year.
On the other hand, gas prices (which have also been on a steep rise this year) fell by more than 15% — which values it at less than €280 per MWh.
Why is this happening?
The main reason for the rise in European electricity prices is the ongoing war in Ukraine and Russia’s dwindling gas supply to Europe, as gas is often used to generate electricity, writes NU.nl.
On top of that, many French nuclear power stations are under maintenance and taking longer than planned to work again fully.
In the case of gas, the fall in prices can give thanks to Germany, the largest European economy, for filling its gas reserves faster than expected.
The Netherlands is also on track
The lowlands also have plans to fill its gas reserves after Russia demanded they pay for the gas supply in rubles.
According to Statistics Netherlands, the gas stock’s fill level in the Netherlands is up to more than 70%.
Based on the EU’s intended target of 80% for November 1, the Netherlands is still on track, writes the NOS.
Have you felt the rise in energy prices in your wallet yet? Tell us about your experiences in the comments below! 👇