The natural gas index ensures full transparency and price developments in line with the market price.
Enjoy the benefits from accurate, customized and timely market data through Gaspoint Nordic’ s data area.
The market overview facility gives you near realtime information on the intraday trading activity.
Why a European Gas Spot Index?
Since the introduction of natural gas in the 1980s, the price of natural gas has been linked to oil prices. Consumers traditionally used oil for heating purposes, and gas therefore had to be priced at or below the replacement value of oil in order for gas to become an attractive alternative fuel.
Steadily growing natural gas consumption throughout the 1980s and 1990s accentuated the need for a pricing mechanism independent of oil prices. As gas markets were liberalized in the UK and the rest of Europe, market places started to emerge involving traditional market pricing based on the supply and demand balance for gas.
Consequently, the Nordic gas exchange, Gaspoint Nordic, was established in 2007. Trading activity has grown significantly ever since, and today more than 60 % of the domestic demand is traded at the exchange. The reference prices at the exchange reflect the market price day by day in line with the power prices established at the power exchange Nord Pool Spot.
The daily price at Gaspoint Nordic s is based on a weighted average of the daily trades conducted at the exchange. It is fully transparent and reflects the real market value of gas on any given day. Therefore, the Gaspoint Nordic closing price is a natural price reference in any supply contract involving gas deliveries in the Nordics. The Gaspoint Nordic closing price is also referred to as the European Gas Spot Index (formerly Gaspoint Nordic Spot Index).