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Alexela to raise gas prices for domestic customers in August

A gas hob.
A gas hob. Source: Priit Mürk/ERR

After reaching a peak in winter, gas prices have been gradually falling for household consumers. However, this trend is set to come to end from August, with Alexela customers instead facing a price increase.

In June Alexela's gas prices for domestic consumers was €0.63 per cubic meter and in July this will drop to €0.45 per cubic meter. In August, however, the price is set to rise again.

Alexela's energy portfolio manager Kalvi Nõu told ERR that, as the company predicted at the end of May, market prices have begun to rise slightly and so gas will cost €0.53 per cubic meter for domestic customers in August.

"So long as prices still remain favorable, we continue to advise household consumers to start fixing gas prices well in advance of the heating season, in order to ensure a stable budget in the fall and winter," said Nõu.

Eesti Gaas' household customers will pay €0.64 per cubic meter for gas in June under the company's flexible package. Prices will fall in July and then remain the same for the following month.

"The price of the flexible package for domestic customers will remain the same in July as has been previously stated - €0.46 per cubic meter - and that price will not change in August," said Kersti Tumm, the company's communications and marketing manager.

In contrast, Eesti Gaas announced in May that it was putting a stop to its fixed-price packages for private customers as a result of the fickle market situation.

The price of gas on the Dutch TTF Natural Gas Futures  exchange reached a record high at the end of August last year, of €320 per megawatt hour (MWh). Eesti Gaas' peak price was €2.85 per cubic meter, last fall.

This week, the price of gas on the TTF exchange has fluctuated between €32 and €34 per megawatt hour (MWh).

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Editor: Michael Cole

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