Estonian Eesti Gaas has plans to reduce the price of natural gas to 1.85 EUR/m3 from the current price of 2.85 EUR/m3, as reported by ERR.
The price drop will apply to the company’s «flexible» tariff plan. According to ERR, the company no longer offers clients fixed tariff plans.
The company’s flexible plan is something between the fixed and market rate plan – the price is set depending on the client’s consumption and long-term market trends in order to ensure more stability and equalise short-term price fluctuations.
The seller retains the right to arbitrarily change the price of natural gas as long as the client is provided a warning 30 days in advance.
The price of natural gas is currently going down in Europe and elsewhere in the world.
This week the gas price in the European futures market dropped below EUR 100 for the first time since June.
This made the price drop three times when compared to the peak reached in August. ERR reports that on 26 August the gas future contract price reached nearly 350 EUR/MWh.
Between October 2022 and March 2023 Estonian government will be compensating 80% of the average monthly gas price that exceeds 80 EUR/MWh (without VAT).
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