Are there any prospects for higher rates in the autumn?
Electricity and natural gas prices on energy markets have risen significantly compared to before recent market disruptions. While large industrial consumers already feel the impact, households typically experience price changes with a delay due to fixed-price contracts. Natural gas prices for the upcoming winter season are over double those of last year, while electricity prices in Germany have increased by around 50%. Factors influencing these rises include availability of renewable energy, consumption levels, and gas prices. Energy storage facilities in Europe are currently less filled than usual, contributing to higher prices. The European Commission does not see immediate supply risks, but experts warn that colder winters or geopolitical tensions could further increase costs. However, household bills won’t rise immediately because final prices include network charges, taxes, fees, and supplier margins. Two gas suppliers, Istrabenz Plini and Plinarno Maribor, have submitted requests to raise prices, but the government has not yet decided on their applications. The requested price increases are considered commercial secrets.
Croatian energy prices have surged again this autumn, with two suppliers already seeking price increases for gas. The cost of electricity and natural gas has risen significantly compared to the start of recent market disruptions. Large industrial consumers are already feeling the impact, while households remain relatively shielded due to fixed or pre-agreed pricing contracts. Energy providers typically purchase power gradually over time, offering greater stability for smaller users. The rise in gas and electricity prices is driven by multiple factors. In Germany, electricity prices have increased by approximately 50 percent, influenced by renewable energy availability, consumption patterns, and gas costs. During periods of low solar and wind production, gas-fired power plants often set electricity prices, which tend to rise in winter due to higher demand and lower solar output. Gas prices, meanwhile, are even more volatile, affected by supply chain issues, competition among European and Asian buyers, and underfilled storage facilities. European Commission officials currently see no immediate threat to gas supplies, though experts warn colder winters or geopolitical tensions could push prices further upward. According to current assessments, gas prices hover around 60 euros per megawatt-hour, with expectations of slightly higher prices during the winter months, though not necessarily drastic spikes. However, households may not immediately feel these changes, as final energy bills include additional components such as grid fees, taxes, contributions, and supplier margins. Electricity accounts for roughly half of the final bill, making its cost a key factor in overall expenses. Two gas suppliers have submitted requests for price hikes, though the exact amount remains undisclosed due to confidentiality clauses. These companies, Istrabenz Plini and Plinarno Maribor, have filed their proposals with the government, which has yet to make a decision. Meanwhile, other major suppliers such as Petrol and Gen-I have not announced specific price adjustments, while Energetika Ljubljana has stated it does not plan to change retail prices for households in the coming year. Gas storage levels in the European Union are currently at 62 percent capacity, the lowest since 2009. This follows slower-than-usual refilling efforts, partly due to the closure of the Hormuz Strait after the Iran-US conflict and unusually high summer temperatures that increased cooling demand. Despite the reduced storage levels, the European Commission remains unconcerned, emphasizing that the current pace of filling is still sufficient to meet winter demand. Member states are advised to refill storage to 90 percent by late October or early December, though flexibility is allowed to avoid unnecessary price increases. Norway remains the primary supplier of natural gas to the EU, contributing nearly 30 percent, followed by the United States and Algeria. Qatar, a major supplier to Asian markets, provides less than four percent of gas to Europe. While storage levels are below historical averages, the European Commission maintains confidence in meeting winter demand, citing ongoing efforts to replenish reserves and stable supply chains. As the autumn season approaches, the potential for price changes becomes increasingly likely, particularly before the heating season begins. For now, however, there is no certainty that household bills will rise, as the situation remains fluid and subject to further developments.
★
Keep the news honest.
ObjectiveNews is reader-funded and ad-free — we show you the bias instead of hiding it. Support independent journalism for €4/month.
Become a Supporter
Slovenia
