In the month of July it was a turbulent time for the market with many rises and falls. Unfortunately, the general trend has been up!
The Nord Stream 1 pipeline, which was shut down for routine maintenance towards the end of July, is still running at massively below capacity. Russia has the pipeline running at 20% capacity, this is due to so called “repairs”. There are widespread fears that this could be further reduced, as Russia are fighting back against the sanctions currently in place against them.
The cut in supply from Russia has caused Europe to scramble to source gas from other sources. There has even been proposals to reduce the whole of the EU’s gas consumption this winter by 15% with the potential of mandatory sanctions to drop consumption coming into place. The EU are now approaching many of the sources the UK use to make up for their drop in supply. This has left the cost of natural gas over 6 times higher than the price was 12 months ago.
The fall out of all this is causing the UK energy market to soar, with many suppliers pulling prices on a daily basis. Quotes produces in the previous weeks are no longer valid, causing customers to have to agree to higher rates than previously quoted. It is imperative on the current market to make a quick decision.
GMG are here to help golf clubs negotiate through this troubling time. Many brokers are offering prices with suppliers that aren’t completely “Fixed”, with hidden terms that costs can and will increase at the drop of a hat. This makes budgeting very difficult for clubs and can cause crippling increases. GMG pride themselves of being transparent and honest.
With the huge rises in energy prices, a lot of clubs are looking into ways to reduce consumption and maximise earnings from their electricity. We have had many enquiries about Solar and EV charging, which we have multiple solutions available for.
If your contract ends in the next 12 months or you are interested in Solar/EV charging, please contact the GMG Energy Club at [email protected] with a copy of a recent bill and we will be happy to advise on the best procurement option.