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Use the following information to answer questions 5-12. XYZ Natural Gas is the private natural gas distribution company serving the widest geographic area in Turkey

Use the following information to answer questions 5-12.

XYZ Natural Gas is the private natural gas distribution company serving the widest geographic area in Turkey with 21 distribution licenses, distributing 8.9 billion m3 natural gas over a network length of 24,421 km, with a market share of 20.5%. XYZ Natural Gas, operates in 27 cities, 167 districts and villages. There is the monopoly status of BOTA in the supply of natural gas and dependence on imported gas. Which of the following is not a threat for the company?

  • A.

    The low level of profit margins due to rising costs in the Turkish energy market.

  • B.

    There is the monopoly status of BOTA in the supply of natural gas and dependence on imported gas.

  • C.

    In the market there is an intense competition for eligible customers amongst independent power producers.

  • D.

    In the energy market there is an excessive positive/negative changes in hydrologic conditions,

  • E.

    In the energy market significant deviations from seasonal weather norms, natural gas procurement crisis etc. increase the volatility in prices.

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