Analytics, Energy, Gas, Gas Market , Latvia, Markets and Companies

He pointed out that, when the Latvian energy market was opened 10 years ago, there was a long transition period with several phases lasting one to five years, but in case with the gas market the market players would have to get ready for the open market by June 15.

The regulator will finalize the last aspects concerning the tariffs and the terms of use of the gas transmission system within a month so that the gas sellers would be able to prepare their offers to customers who would have to analyze their gas consumption in order to choose the offer best suited to their particular needs.

"Gas prices in Latvia already are related to the fluctuations of global energy prices therefore any major price adjustments are unlikely. The most significant changes will be [that the customers will have] the freedom of choice and the opportunity to negotiate the pricing principles and other terms of agreement," the board chairman of Enefit said.

As reported, the amendments to the Energy Law providing for the opening of Latvia’s gas market are taking effect today.

Legal entities will have to pick a new natural gas supplier by June 15, 2017, but households will not be required to choose a new gas supplier or to pay the market price for natural gas. The households which elected to keep buying gas from the existing supplier, Latvijas Gaze natural gas utility, would receive gas at a regulated price determined by the regulator until 2019.

Altogether, 15 companies had registered with the regulator as gas suppliers by March 31. They included Latvian companies Latvijas Gaze, Latvenergo, Enefit, AJ Power Gas, ESK Sistemas, Euro Energo Company, Frenzo, GEG, Latvijas Propana Gaze, Rigas Gaze, Scener, Daugavpils Siltumtikli and WIN Balitc, as well as Lithuanian companies Lietuvos Duju Tiekimas and Litgas.