Variable rate changes

We’ve had a relatively cold winter and spring. Because of that, the current gas stocks are at its lowest level in years. Restocking gas before winter usually starts earlier, but because of the low temperatures past months, supply and demand are driving up the gas price.

In Europe, the rights to CO2-emission are traded to a certain price that fluctuates. This price has gone up the past months. This is because the EU brings in fewer rights every year, in order to limit emissions of CO2. As a non-profit supplier of locally produced, green energy, we can only applaud at this goal but the side effect is that it is driving up electricity prices. The main part of the production of electricity in The Netherlands and in Europe is by gas- and coal-fired power stations and these require those CO2-emission rights. Since the economy is recovering from Covid-19, there is more demand for the CO2-emission rights while there are less remaining rights to offer. Therefore, prices are going up across the entire electricity market.