ENERGY CONTRACTS – 26/06/2026

Welcome to AYA’s energy market update for June 2026. This month: why gas storage remains the key risk, and how incentives strengthen the business case for electrifying industrial heat.

Gas market eases, but storage remains the key risk

Gas and power markets remained relatively stable last week. Compared with prior weeks, prices have eased and market sentiment has become more positive. Better supply conditions are helping to reduce the risk premium that had built up during the recent tensions in the Middle East.

Several developments support this trend. Norwegian gas exports have returned to normal after a period of maintenance, reaching around 340 million cubic metres of gas to Europe every day. LNG exports from Qatar are also expected to recover gradually as shipping through the Strait of Hormuz resumes. At the same time, demand remains moderate, supported by mild weather and lower industrial consumption.

These factors have already pushed longer-term gas contracts lower. However, contracts for the coming months and next winter are proving more stubborn. Markets are waiting for further confirmation that gas supply will remain comfortable before prices move lower.

The biggest concern continues to be European gas storage. Current filling levels remain well below the average of recent years. Europe still needs to inject large volumes of gas into storage during the summer to prepare for winter demand. Without sufficient reserves, the market could face significant price increases later this year if supply is disrupted or if demand rises sharply.

Although Belgium receives more gas than it consumes, our market is closely connected to neighbouring countries. This means European storage levels remain important for Belgian energy prices.

‘The market is moving in the right direction, but storage levels will determine whether this positive trend continues towards winter.’
Baudouin Vervrangen, Energy Partner at AYA

For energy-intensive companies, this remains a market that requires close monitoring rather than assumptions. Supply is improving, but geopolitical events and the pace of reserve building can still change the outlook quickly. We continue to follow these market drivers every day and help our clients understand how changing conditions affect their energy budgets and procurement strategy.

If you would like to discuss what the current market means for your energy strategy, please contact your Energy Manager.

ENERGY ASSETS – 05/06/2026

Electrifying Industrial Heat: New Incentives Strengthen the Business Case

Belgian companies considering the electrification of heating processes now have access to a broad range of financial incentives designed to accelerate industrial decarbonisation. Federal and regional authorities are offering support for technologies such as heat pumps, electric boilers, waste heat recovery systems and energy management solutions, helping businesses reduce both emissions and long-term energy costs.

At federal level, companies investing in eligible electrification technologies can benefit from an increased investment deduction of 40% of the capital expenditure from taxable corporate income. In addition, accelerated depreciation allows businesses to recover investment costs more rapidly, improving short-term cash flow and project economics. These measures apply to new assets used professionally in Belgium and can often be combined with regional support schemes.

Regional incentives vary according to project type and location. In Flanders, support is available through programs such as Ecologiepremie+, GREEN Investment Support and Strategische Ecologiesteun (STRES). These schemes target projects ranging from standardised industrial heat pumps to large-scale customised electrification solutions, with support levels linked to the environmental value of the investment.

Wallonia offers support through energy efficiency and decarbonisation programs mostly linked to the Convention Carbone. Businesses investing in heat pumps, electric boilers or broader process electrification projects may receive funding based on the environmental benefits delivered. Larger industrial companies can also access dedicated support for major decarbonisation initiatives, subject to eligibility criteria and energy performance requirements.

The timing of these incentives is particularly relevant given the introduction of ETS2 from January 2028. The new carbon pricing mechanism is expected to increase the cost of fossil fuels used for heating processes, adding pressure to gas and heating oil procurement costs. Electrification can help reduce exposure to these future carbon costs while creating opportunities to integrate on-site renewable generation and energy storage into industrial operations.

‘The combination of subsidies, tax incentives and rising carbon costs is significantly improving the economic case for industrial electrification projects.’
Léopold Ryelandt, Energy Manager

For energy-intensive businesses, evaluating electrification opportunities is becoming both an operational and strategic priority. We help clients assess technical feasibility, quantify available support mechanisms and build investment cases that align sustainability goals with long-term cost competitiveness.

If you would like to explore how heat pumps, e-boilers or other electrification technologies could support your energy strategy, please contact your Energy Manager for tailored advice.