16th February 2016 | Posted by: Daniel Birkett | Market Analysis

Gas Power
Market Close Market Close
The UK gas system was undersupplied on Monday which offered support to contracts across the near-curve. Planned maintenance took place at the St Fergus terminal and the Rough storage facility also went offline, temporarily. Demand levels also increased due to cold weather, while stronger oil led to gains on the far-curve. Gas prices have once again followed the rising oil market this morning and a cold weather forecast continues to increase demand. Upward movement can be seen across the curve as another downward revision in temperatures should tighten the system further.
Market Open Market Open
Day-Ahead power was one of the few contracts to shed from its price yesterday as wind generation was set to strengthen today. The rest of the curve displayed gains with direction coming from stronger coal, gas and oil markets, as well as a higher demand outlook. Power contracts continue to mirror their rising gas counterparts, although the gains are less prominent. The prompt has also displayed a sizeable increase as wind production is set to fall below 2GW tomorrow and remain around that level until Friday.

Brent Summary

Brent 1st-nearby prices have displayed another strong increase and have climbed above $35/b as a meeting in Doha between the energy ministers of major oil producing countries has been confirmed; the countries include Saudi Arabia, Russia, Venezuela and Qatar.

1-year forward prices

Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity increased - closing at 30.76ppt and £34.98/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 - 16-02-2016