ENERGY | consulting
NATURAL GAS PROCUREMENT
To maximize your purchasing strategy, TPI monitors the dynamic and ever-changing natural gas market and advises your business on the best product, terms, price, and time to buy.
TPI Natural Gas Procurement Services Include:
We Know The Importance Of Delivering The Best Customer Experience.
Strategic Planning
Contract Negotiation
Vendor Sourcing
Utility Distribution Program Comparison
What & Why
TPI Efficiency employs a comprehensive approach to natural gas procurement for Our clients
- Market Monitoring:
TPI continuously monitors the dynamic natural gas market, tracking price fluctuations, supply and demand trends, and other factors affecting costs. - Customized Strategy:
We have developed a tailored purchasing strategy based on each client’s needs, risk tolerance, and energy consumption patterns. - Timing Optimization:
TPI advises clients on the best buying time, considering market conditions and forecasts. - Product Selection:
We recommend the most suitable product and contract terms for each client. - Supplier Negotiations:
TPI leverages its network of over 150 vendors to source cost-effective solutions, negotiating contracts on behalf of clients. - Risk Management:
We offer various purchasing options, including fixed-rate contracts to protect against market volatility and layered purchasing strategies to capitalize on market dips. - Ongoing Advice: TPI provides continuous guidance, including layering recommendations based on market movements and the client’s goals.
- Regular Reviews:
Client accounts are reviewed every 30 days, with quarterly visits to discuss industry trends, new services, and efficiency rebates. - Additional Services:
TPI offers complementary services such as energy audits, utility bill audits, and capacity tag management to optimize costs further.By combining these elements, TPI Efficiency aims to secure the most advantageous natural gas pricing and terms for its clients while managing risk and maximizing savings.
Benefits & Results
Natural Gas Is So Much More Than Hot Air
Since 2016, Natural Gas has been the main source of Power Generation in the United States, surpassing coalfired power plants for the title.
Power and Natural Gas procurement strategies have become increasingly complex and essential— combining the two decisions with one consultant is critical.
TPI leverages your buying power and aligns strategies across commodities. A true win-win.
Recent developments in the natural gas supply chain and seasonal market volatility indicate that now is the time to revisit your purchasing strategy.
What's Your Natural Gas Purchasing Strategy?
Recent developments in the natural gas supply chain and seasonal market volatility indicate that now is the time to revisit your purchasing strategy with all energy expenses, but most importantly, natural gas.
A TPI consultant can assist you in developing a natural gas purchasing strategy, starting with an energy audit.
Keep Your Energy Costs In Control
If you’re not on a fixed-rate contract, your monthly expenditure is exposed to market volatility. Reach out to TPI today, and we’ll help you find the right fit for your energy needs.
Market Insights
The Natural Gas Market Today
The U.S. natural gas market in 2025 has been characterized by unexpectedly strong prices, record-setting demand, and tightening supply due to elevated LNG exports and increased domestic consumption, especially for electricity generation. Looking ahead to the next few years, the market is expected to remain tight, with growing export volumes likely to keep upward pressure on prices and inventories.
Outlook for 2026 and Beyond
- Market Tightness: With LNG export growth consistently outpacing domestic production gains, the market is expected to remain tight. This means inventories may return to or fall below the five-year average, and prices could stay elevated by historic standards.
- Production Forecasts: The EIA expects U.S. gas production to remain flat in 2026 compared to 2025, with only modest increases due to fewer rigs, especially in oil-heavy basins. Most growth is expected from gas-focused regions, such as Haynesville and Appalachia.
- Prices: Benchmark prices are projected to rise by more than 50% in 2025 versus the previous year, followed by a modest increase in 2026. Futures for delivery in 2026 have settled at about $4.30/MMBtu, up from $3.91 at the start of the year.
- Drivers: Key factors supporting price strength include tight supply conditions, robust LNG demand, rising electricity sector use (especially from data centers), and lower crude oil output impacting associated gas flows.
Key Takeaways for U.S. Natural Gas
- Record demand and strong LNG exports are the leading trends for 2025 and onward.
- Stable to higher prices are expected, underpinned by market tightness and export growth.
- Production growth is expected to slow, particularly from oil-producing basins, making gas-focused shale regions increasingly critical for future supply.
- Electric power sector demand is rising due to retirements of coal and older gas plants, as well as expanding load from industry and data centers.
The U.S. natural gas market will likely remain influential in global energy dynamics, with exports and domestic shifts in power generation continuing to drive trends for several years.
ENERGY | Natural gas
GAS PRICE VOLATILITY
The term “price volatility” is used to describe the price fluctuations of a commodity. Volatility is measured by the day-to-day percentage difference in the commodity’s price.
The degree of variation, not the level of prices, defines a volatile market. Since price is a function of supply and demand, it follows that volatility results from the market’s underlying supply and demand characteristics. Therefore, high volatility levels reflect extraordinary supply and/or demand features.
What & Why
Volatility in the Natural Gas Market
Basic energy prices (natural gas, electricity, heating oil) are generally more volatile than prices of other commodities.
One reason energy prices are so volatile is that many consumers are extremely limited in their ability to substitute other fuels when the price of natural gas, for example, fluctuates. In addition, residential customers usually cannot replace their heating system quickly–and it may not be economical in the long run.
So, while consumers can readily substitute between food products when relative prices change, most do not have that option in heating.
Volatility provides a measure of price uncertainty in markets. Firms may delay investment and other decisions or increase risk management activities when volatility rises. The costs associated with such activities tend to increase the costs of supplying and consuming gas.
What Causes Volatility In Natural Gas Prices?
Major factors affecting volatility in gas markets include:
Weather Changes: Weather is a strong determinant of short-term demand. Unexpected, prolonged, or severe changes in weather can cause fluctuations in the amount of natural gas that end users demand. Weather changes can also affect supply and distribution capabilities, affecting the amount of natural gas available for end users.
Production/Imports: The amount of natural gas produced and imported makes up most of the natural gas supply available for consumption. Changes in the amount of gas produced or imported can significantly impact prices.
Storage Levels: Storage provides the critical buffer between demand and current supply (production and imports), and is often used as an indicator of the relative supply and demand conditions in the natural gas market. Storage is needed during times of high demand, and as a result, market participants may compare current storage levels with current or future demand in evaluating gas markets.
Delivery Constraints: Constraints may occur or be removed along the pipeline delivery system, which may change supply and distribution capabilities, resulting in fluctuations in the relative amount of available natural gas. Possible examples include:
- Operational difficulties (production valves freezing, equipment breaking down, etc.).
- The existence of pipeline or delivery bottlenecks.
- The implementation of new transmission routes.
Market Information: A lack of timely, reliable information regarding the previously mentioned causes of volatility can cause price shifts as market participants are forced to base their trading decisions on rumors and speculation.
CLIENT SUCCESS STORIES
TPI EFFICIENCY + MANAGED ENERGY
ENERGY | PROCUREMENT
Strategizing energy purchases in today’s market can be an enigma. With prices swinging due to supply, weather, and global politics, timing is everything. Discover how TPI is revolutionizing energy procurement for businesses like yours!