|Gas prices eased down on Monday with little change to fundamentals, although an expected rise in gas-fired power demand helped to lift the prompt. Planned maintenance at Norwegian facilities also helped to cap losses on the rest of the near-curve.
|The majority of power prices followed gas and recorded small losses yesterday. The prompt was the main exception as wind levels were forecast to drop significantly today. Meanwhile, coal and carbon markets strengthened, offering some support to the far-curve.
|The UK gas system is close to balance this morning as supply levels have increased to make up for the rise in demand, on the back of weak renewable power availability. Oil, coal and carbon markets have also increased and gains can be seen across the curve this morning.
|Oil markets have rebounded this morning, while coal and carbon markets display additional gains, resulting in upward movement along the power curve. However, the prompt has moved down as renewable availability should improve tomorrow, but only slightly.
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent 1st-nearby prices have increased by over $1/b as global markets show signs of recovery. Middle-Eastern tensions and an expected drop in US inventories have also added to bullish sentiment.
1-year forward prices
Market close data has revealed that the 1-year forward price for commercial gas recorded a minor gain, while commercial electricity moved down – closing at 46.16ppt and £51.30/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
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