Frequently asked questions
Mains Gas - Supply
- How is Flogas Mains Gas Transported?Flogas mains gas is transported in the same way as any other supplier (including the big 6)
- How are natural gas prices calculated?Some years ago the price of natural gas was indexed to the price of crude oil. In recent years this has changed and a number of trading hubs and exchanges have developed across Europe which serve as spot markets and reference gas prices. The euro/dollar exchange rate also influences prices, since oil products are normally traded in dollars. Other factors that influence gas prices are mainly a function of market supply and demand, including natural gas production, net imports, underground storage levels, economic conditions, weather conditions, and petroleum prices.
- How is natural gas transported?Over the past 50–60 years, a dense pipeline network has been built up in Europe. This European interconnected system expands from the North Sea and the Baltic to the Mediterranean, and from West Siberia to the Atlantic. New projects are under construction with more kilometres of pipeline, with the aim of bringing more gas to Europe from Siberia, the Middle East and the Caspian Sea. Natural gas is also brought to the European market by cargo ships, as liquefied natural gas (LNG), from the producing countries all around the world. This flexible form of transportation is taking on an increasingly important role for Europe and new terminals are under construction to accommodate more ships.
- Does use of natural gas affect the environment?Natural gas is one of the cleanest-burning fossil fuels. This is because complete combustion produces mainly water vapour and carbon dioxide. It also has the lowest hydrocarbon content of all fossil fuels and has much lower nitrogen oxide (NOx), sulphur dioxide (SO2) and particulate emission fractions that arise from combustion.
- How long will natural gas reserves last?Proven and probable reserves are sufficient for about 200 years consumption at current rates. More and more gas is found in new areas around the world, most recently in the Eastern Mediterranean therefore natural gas will be available for many years to come.