|Market Close||Market Close|
|An oversupplied gas system helped gas prices to decrease yesterday as demand levels were below average due to milder weather and BBL flows resumed. Residential demand was 22% below the seasonal norm, while BBL flows rose to around 12mcm. Losses were also evident further along the curve with further downward pressure coming from weaker fuel prices.||The UK gas system has opened 22mcm long this morning, however, an outage at the South Hook LNG terminal has provided support to some near-curve contracts. The oversupplied system and a below average demand forecast has helped the prompt shed from its price, while movement further out is mixed.|
|Market Open||Market Open|
|Near-curve power contracts moved down yesterday on the back of a weaker gas market and a higher renewable generation forecast. Lower demand levels further weighed on the prompt and falling Brent helped some far-curve contracts to record a loss.||Day-Ahead power has recorded a significant loss this morning as wind generation is set to rise from 2.5GW to 5GW, while solar power is also set to increase. Temperatures are also expected to remain below the seasonal norm in the coming days which provided further downward pressure. Overall movement on the curve is mixed with some contracts following their stronger gas counterparts.|
Brent 1st-nearby prices have displayed another decrease with oversupply concerns and a stronger US Dollar offering support; Brent currently trades at $48.25/b.
1-year forward prices
Market close data has revealed that the 1-year forward price for commercial gas increased, while commercial electricity displayed a significant loss - closing at 37.83ppt and £37.83/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