|Gas prices moved higher during Wednesday’s session, supported by increases on the broader energy market. The larger gains were displayed by longer dated contracts, although a healthy/ supply demand outlook also weighed on prompt prices.
|Power prices were pushed higher by strengthening gas, coal and carbon which all followed a rebound on oil markets. Wind levels were also expected to drop today which helped the Day-Ahead contract add to its price.
|The UK gas system is slightly undersupplied this morning due to a drop in wind generation which has lifted gas-fired power demand. Temperatures are expected to turn milder over the coming days, while flows are unchanged, resulting in stable prices at the start of the session. Coal, oil, power and carbon prices have also eased down, providing additional bearish pressure.
|Mild and windy weather is expected over the coming days which has contributed to weakening on the prompt and the rest of the near-curve. Commodity markets also continue to display a bearish trend, preventing upward movement at the back of the curve.
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent 1st-nearby prices showed signs of recovery yesterday as concerns regarding the spread of the Coronavirus eased. However, this positivity was short-lived with a further 15,000 new cases reported in China’s Hubei Province. Further losses on oil markets can be expected as a result.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased – closing at 29.15ppt and £38.15/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
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.