Publication

Competition in the German gas market

Legal uncertainties limit further dynamics

The changes of the legal and regulatory framework established by the Federal Cartel Office and the Federal Network Agency last year were taken to improve the conditions for gas sourcing and transport as well as to intensify the competition in the German gas market.

To determine the likely development of competition as well as future trends PA Consulting Group has undertaken this survey - 'Competition in the German gas market'. The main element of the study is a survey of regional gas suppliers and municipal utilities regarding their sourcing, supply and transportation of gas. The results of the study are robust because 110 energy suppliers participated in the survey.

Key findings

The study shows that two issues need to be addressed:

• Legislator and regulator need to improve the competition in the gas market and eliminate the legal uncertainties.
  
• Regional and municipal utilities need to develop options to sustain their competitiveness.  Municipal utilities especially must aim for a diversification regarding their product portfolio and further develop their sales strategies. Otherwise their market position in the mid-term is endangered.

Please note: This publication is available in German only.