4th July 2019 | Posted by: Daniel Birkett | Market Analysis

Gas Power
Market Close Market Close
Near-curve gas prices moved higher during yesterday’s session and closed at a premium, with support provided by an undersupplied system. An outage at the Kollsnes processing plant and maintenance at the Troll field reduced flows into the UK, contributing to the undersupply. Meanwhile, far-curve prices followed oil and coal, closing down. Power prices displayed losses on Wednesday, with the far-curve pressured down by weaker coal, carbon and oil markets. Wind levels were also expected to pick up today, while solar availability will be almost unchanged which helped the prompt shed from its price.
Market Open Market Open
Despite the short system, gas prices are generally lower this morning as the supply/ demand outlook is set to improve over the coming days, thanks to improved renewables and the end of maintenance in Norway. Further out, contracts have moved slightly higher due to rising commodities. Healthy wind levels and steady solar power has applied bearish pressure to the front of the power curve this morning, with an expected improvement in available gas supply also a factor. Far-curve prices are generally stable with little direction provided by fuel markets.

For a breakdown of the current generation mix visit our Power Generation Insights page.

Brent Summary

Brent 1st-nearby prices display a rebound following sizeable losses on Wednesday, current sentiment remains bearish but the extension to production cuts provides some support although the news was somewhat expected.

1-year forward prices

Market close data has revealed that the 1-year forward price for commercial gas displayed a small gain, while commercial electricity decreased – closing at 46.02ppt and £51.20/MWh, respectively.

Today’s prices can also be found in an easy to read table on our ‘current UK energy price' page. 

Click graph to enlarge

energy price graph - 04-07-2019

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