German industry is under pressure: political regulations are forcing companies to gradually reduce their use of fossil natural gas. However, competitiveness, production security and pricing are still heavily dependent on this raw material. At the same time, attractive world market prices for natural gas can often only be achieved through long-term agreements.
- Long-term procurement contracts often bring favorable conditions on the world market, but the necessary flexibility suffers.
- Short-term procurement keeps many options open, but makes companies susceptible to extreme price fluctuations.
For companies, this means that they need strategies to make energy costs calculable, keep investments predictable and secure margins in the long term.