, has announced that it was increasing the natural gas price by 38 percent for residential use as of August 1.){kind=link}
Turkey’s state-run energy operator, the Petroleum Pipeline Corporation (BOTAŞ), has announced that it was increasing the natural gas price by 38 percent for residential use as of August 1.
BOTAŞ in a written statement on Wednesday announced that the price for August of natural gas will be increased by 38 percent for residential use and 33.1 percent for small to medium-sized industrial customers whose annual natural gas consumption is 300,000 cubic meters or less and used for other purposes than electricity generation.
2024 Yılı Ağustos Ayı Doğal Gaz Toptan Satış Fiyat Tarifesi https://t.co/u2iqVbN0iZ#BOTAŞ #Fiyat #Tarife #DoğalGaz pic.twitter.com/xY9tMD3Hmg
— BOTAŞ (@botastr) July 31, 2024
The organization added that its natural gas wholesale prices are being determined “taking into account market conditions, market price stability, the Energy Market Regulatory Authority’s (EPDK) decisions regarding tariffs and changes in purchasing-operating expenses.”
Natural gas prices are adjusted on a monthly basis.
The EPDK also issued a statement regarding the price hikes on Thursday, saying that the increases of 38 and 33.1 percent are reflected in the unit gas procurement costs.
“When the unit gas procurement cost, system usage fee and taxes are accounted for, residential prices [of natural gas] across Turkey have increased on average by 24.4 percent,” they added.
Being the first hike in natural gas prices in almost two years, the 38 percent increase is expected by many to have broad implications for household budgets and inflation in Turkey, potentially hurting consumer spending and impacting sectors reliant on domestic consumption.
The hikes come as natural gas prices in Europe have largely stabilized since the beginning of the year, reaching levels approximately 80 percent lower than the record highs experienced in 2022. This stability comes amidst a backdrop of slowing economic activity and warmer weather, which collectively dampened heating demand early in the year. By mid-2024, prices were trading around €31.9/MWh, showing a slight year-to-date decline.