Flexibility as a cost-control mechanism Flexibility has become the primary tool for managing gas-driven volatility. In the Serbian context, flexibility does not mean eliminating gas use but managing when and how gas and electricity are consumed. At the system level, flexibility reduces exposure to marginal pricing. At the plant level, it allows producers to avoid […]
Gas–power flexibility models for Serbian industries Read More »
Serbian exporters increasingly face a strategic choice: treat gas and electricity as separate procurement streams or integrate them into a unified energy risk strategy. The latter approach is rapidly becoming essential. Gas procurement indexed fully to TTF offers flexibility but exposes companies to extreme volatility. Electricity procurement based on short-term wholesale markets compounds this risk
Gas vs electricity procurement: Strategic choices fo Serbian exporters Read More »
Steel: Gas as a volatility multiplier rather than a fuel cost In Serbia’s steel industry, gas sensitivity manifests less through average cost levels and more through volatility transmission. Gas is used directly for heating and indirectly via electricity consumption in rolling, casting, and finishing processes. While gas may represent a minority share of total energy
Sector-by-sector gas cost sensitivity in Serbian export industries Read More »
Natural gas has shifted from a relatively predictable industrial input to a structurally volatile cost driver across European markets. For Serbian exporters supplying the EU, gas price dynamics now shape not only operating costs, but also contract structures, risk allocation, and long-term competitiveness. Unlike the pre-2020 period, when long-term pipeline contracts smoothed price volatility, today’s
Gas markets as a structural cost driver for Serbian exporters Read More »
The European natural gas market has moved decisively away from its pre-2020 equilibrium. Price formation, supply security, and cost competitiveness are no longer primarily dictated by long-term contracts and pipeline marginal costs. Instead, they are shaped by a volatile interplay of LNG pricing, financial hedging, regulatory overlays, and gas-power coupling. For Serbia-based companies producing gas,
What the European gas market means for Serbia-based producers and exporters Read More »
In South-East Europe, gas–power interaction has moved decisively beyond simple fuel substitution logic. Spark spreads now act as the principal transmission mechanism of volatility, determining not how much gas is consumed, but when gas-fired generation becomes marginal and how quickly global gas signals propagate into local power markets. Across Serbia, Hungary, Romania, Bulgaria, North Macedonia,
A trader-led structural model with LNG and power price transmission (2026–2030) Read More »
South-East Europe’s gas markets have quietly crossed a structural threshold. What once functioned as a peripheral extension of continental Europe’s pipeline system is now fully embedded in a globalised gas-LNG-power complex, where price signals travel faster than molecules and volatility is imported as much through financial markets as through physical flows. For traders operating in
Liquidity, LNG volatility, basis risk and power price transmission Read More »
The European Union’s growing dependence on U.S. LNG is often framed as a success story of diversification and energy security. For South-East Europe (SEE), however, this shift represents a more complex transformation — one that changes how volatility enters regional gas markets and how risk must be managed. U.S. LNG has become Europe’s dominant marginal
Rising U.S. LNG dependence and how volatility travels into SEE gas markets Read More »
European gas prices have fallen to their lowest levels in more than a year, with front-month Dutch TTF contracts trading close to levels last seen before the most acute phase of the energy crisis. While headlines focus on mild weather and high storage levels in north-west Europe, the implications for South-East Europe (SEE) are more
European gas prices at multi-year lows and the strategic window for South-East Europe Read More »
Italy’s decision to consolidate control over key LNG infrastructure, including the Livorno terminal, may appear domestically focused at first glance. In reality, it reflects a broader re-engineering of gas flows that increasingly affects South-East Europe (SEE). Italy has quietly emerged as one of Europe’s most strategic gas gateways. With diversified LNG access, strong north-south interconnections,
Italy’s LNG strategy and the quiet re-routing of gas flows into South-East Europe Read More »
