- 30.04.2024
- Kurt Deman
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2 minutes
The energy suppliers update the prices for new contracts at the beginning of each month. After months of decline, prices rose slightly for most contracts in early March. Will this trend continue or was it just a temporary flare-up? And would you do well to lock in March prices today? Mijnenergie.be sheds light on the energy markets.
Natural gas prices have shown a slightly bumpy curve in recent weeks for the first time in a long time. On April 1, the market price on the leading Dutch TTF exchange was 27.34 euros per megawatt hour. Due to the Russian attacks on Ukrainian power plants and Iran’s interference in the debates in the Middle East, prices rose by more than 22% halfway through the month to 33.14 euros per megawatt hour. Yesterday they finally knocked back the starting point of 27.95 euros.
Electricity prices were very low during the first days of April and for a while were even completely at the pre-crisis level of autumn 2020. In recent days, renewable energy production has been lower than expected, which led to a slight price increase. The monthly average on the Belpex exchange of 47.38 euros per megawatt hour is still below the monthly level of March. At that time, the average daily price was 61.17 euros per megawatt hour.
What does that mean for the April prices?
Severe shocks do not seem to come immediately. The higher volatility may lead to energy suppliers stopping their price reductions or even raising rates to a limited extent. A spectacular further decline seems unlikely, although favorable weather conditions usually create a beneficial effect. In any case, much will depend on how the conflicts in Ukraine and the Middle East develop further.
Anyone who opts for the certainty of a fixed rate may therefore be wise to take that step. Although you do pay a hefty additional price for this compared to a variable rate that follows market developments. If you have a variable rate, your contract automatically follows movements on the energy exchanges. This can have both a positive and a negative effect on your invoice.
Want to save on your energy bill?
You can easily do this by taking a comparison test via Mijnenergie.be. This way you can find a cheaper energy supplier. In addition, your old energy supplier will arrange the switch. Compare via next button.
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