12th May 2017 | Market Analysis

Gas Power
Market Close Market Close
European gas spot and near curve prices weakened yesterday, pressured by weak demand forecasts due to expectations of warmer weather. UK Gas prices have reduced this morning – expectations of higher Norwegian imports and easing demand next week have weighed on the curve. Langeled flows are still reduced due to the Oman Lange shut down, this is expected to return Monday, and so Norwegian flows will start to increase.
Market Open Market Open
Prompt power prices were traded down yesterday under lower demand conditions. Day-ahead prices were down also on improved renewable supply conditions. The outlook is generally stable. In Germany, more limited wind supply could support market prices. UK power prices are tracking gas prices and have followed the downward trend. Front end prices are falling considerably, as wind generation has increased for this weekend. Weakness in coal and carbon prices has also added weight to the curve as other fuels see decreases.

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

Brent Summary

Crude prices posted some more gains yesterday for the second straight session and they are now back to their early May level, before the last collapse. Yesterday saw the release of the OPEC monthly report and the tone was mostly bearish due to supply concerns.

1-year forward prices

Market close data has revealed that the 1-year forward price for commercial gas & commercial electricity has decreased – closing at 41.19ppt and £41.05/MWh, respectively.

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

'Click to enlarge graph'

Energy Price Graph - 12-05-2017

If you would like to learn more about how Apollo Energy can help your business find the best deal on its gas and energy contracts then feel free to get in touch by calling us on 01257 239500 or using the form on our contact form.