THE HAGUE, March 11 (Xinhua) -- Amid escalating tensions in the Middle East, natural gas prices in the Netherlands have surged sharply, sparking renewed debate over how to ensure a stable gas supply. As the country has shifted from being a major gas exporter to a highly import-dependent consumer, policymakers, researchers and energy companies are increasingly discussing measures such as strategic gas reserves to safeguard supply security.
SOARING GAS PRICES
One of the most immediate impacts of the geopolitical tensions has been a sharp rise in natural gas prices. Dutch TTF natural gas futures for April delivery rose 3.86 percent to 49.22 euros (56.95 U.S. dollars) per megawatt-hour on Wednesday, up from 31.96 euros (37.09 dollars) on Feb. 27, representing an increase of about 38 percent within eight trading days.
The rapid price surge has significantly increased procurement costs for energy suppliers. In response, many Dutch energy companies have begun adjusting their contract offerings. Fixed-term contracts have become more expensive, while some suppliers have temporarily withdrawn longer-term fixed deals in order to limit their exposure to market volatility.
These adjustments have quickly translated into higher costs for households. According to the Dutch price comparison platform Overstappen.nl, the average monthly energy bill in March for a two-person household signing a new fixed-term contract increased by around 36 euros per month.
"The sudden rise in household energy costs illustrates how rapidly international energy market shocks can affect domestic consumers," said Rick Boenink, an energy expert at Overstappen.nl.
According to Gasunie Transport Services (GTS), a subsidiary of Dutch state-owned gas network operator Gasunie, a gas supply disruption lasting several months could lead to extreme price increases, severe economic consequences and rising energy poverty.
VULNERABILITY OF GAS SUPPLY
The surge in prices has also highlighted the vulnerability of the Dutch gas supply. GTS said in a report released on Wednesday that the country's gas supply system has undergone profound changes in recent years. The Netherlands used to be a net exporter of natural gas, but it now relies on imports for roughly 67 percent of its consumption. These imports partly come through pipelines from Norway and increasingly arrive as liquefied natural gas (LNG) from countries such as the United States.
Against this backdrop, fears that the Israel-U.S. war on Iran could disrupt global energy transport routes, particularly the Strait of Hormuz, have reignited political debate in the Netherlands about the future of the Groningen gas field, once the country's main source of natural gas. The field was officially closed in 2024 due to frequent earthquakes linked to gas extraction, which caused significant damage to homes and infrastructure in the Groningen region.
Some politicians and researchers argue that the remaining gas reserves should be preserved as a strategic resource.
On March 5, Joost Eerdmans, leader of the JA21 party, proposed maintaining the Groningen field as a strategic reserve that could be used in emergencies, such as extreme price spikes or severe supply shortages. Last month, the Dutch applied research institute TNO also advised policymakers against completely sealing off the Groningen field.
"That's a reserve you have available but essentially do not use," said Rene Peters, business director of gas technology at TNO. "That makes Groningen a very good candidate because the field still has significant reserves and can supply gas relatively quickly."
However, the Dutch government has remained cautious on the issue. Stientje van Veldhoven-van der Meer, Dutch minister of climate and green growth, has stated that the gas wells in Groningen will remain closed.
STRATEGIC GAS RESERVE URGED
"The current geopolitical climate requires us to be realistic and prepared for the unexpected in the longer term," said Gasunie Executive Board member Hans Coenen.
Although technically feasible, GTS is not planning for a scenario in which the Groningen gas field would remain open as a strategic reserve, given current political realities and legal constraints.
Instead, GTS has recommended examining how much of the so-called "cushion gas," gas kept in storage facilities to maintain pressure and allow extraction of working gas, could be used as part of an emergency reserve. The aim would be to establish a strategic reserve of sufficient size before the winter of 2026-2027.
Stientje van Veldhoven-van der Meer argued last week that emergency supply can be ensured through gas purchases and storage, which are already ongoing.
"Those gas storage facilities will be replenished. There is an emergency supply, and families and hospitals have priority as users," she said.
