Wholesale gas prices plunge 44pc in a year
Wholesale gas prices have almost halved in the last year, with Irish businesses benefiting significantly, says a new report.
So far this month, prices are 44pc lower than in February 2015, according to electricity and gas supplier Vayu Energy.
Vayu, headed by managing director Colm Kennedy, said the collapse is due to "an overwhelming supply of gas in Europe and a very robust storage position for this time of year.
"Irish wholesale gas prices have now almost halved in euro terms (down 48pc) compared with the average monthly price recorded for February over the previous three years (2013-2015). This has had a significant impact on the energy costs of many Irish businesses purchasing gas on the wholesale market, particularly in the industrial and commercial segment," Vayu added.
The company's senior energy analyst Gillian Lawler said there appears to be more downward price pressure on the horizon, with Europe coming out of winter with stock levels well above normal.
"Seasonal demand should fall from here on. So barring any unplanned outages or a sustained period of cold weather, there appears only to be more downward price pressure on the horizon. This will be welcomed in particular by energy users in the commercial and industrial sector," she added.