Power companies appeared cautious with the announcement of the July retail tariffs. Most providers either kept their tariffs unchanged (such as PPC) or announced small increases/reductions, with the steady downward trend of the last months having been stopped.
The main factors that explain the conservative approach of the suppliers are three: First, the strong volatility in natural gas prices at the TTF hub in the Netherlands which, after a two-year low of 23 euros/MWh, exceeded 40 euros /MWh with large (intra)day fluctuations, to stabilize in the last days at 35-38 euros/MWh.
Second, we are entering a period of increased power consumption (with temperatures rising to seasonally normal levels after a ‘cold’ June). And thirdly, the vagueness over subsidies next month.
