|The end of maintenance in Norway resulted in higher imports into the UK yesterday morning but supply levels dropped in the afternoon due to unplanned outages, which led to a rebound in prices. However, weaker demand and high LNG send-outs helped contracts correct downward before the end of the session, with weaker Brent also weighing on the far-curve.
|Supply levels in the UK are currently comfortable with Norwegian flows back to normal following yesterday's outages; this has helped near-curve contracts open at a further discount. Meanwhile, temperatures are expected to remain around the seasonal norm for the rest of the month which has provided additional bearish pressure.
|Power prices recorded losses yesterday as fundamentals were similar to previous sessions and fuel prices continued to weaken. A milder weather outlook and a strong wind generation forecast helped to weigh on the prompt and other near-curve prices, while falling Brent resulted in downward movement on the far-curve.
|Day-Ahead power is unchanged this morning as wind generation is set to fall below 1GW tomorrow, a weaker demand outlook and falling gas helped to restrict any gains. Far-curve contracts continue to move down on the back of weakening Brent, while coal prices have also displayed a small drop.
Brent 1st-nearby prices moved down for the third successive session yesterday and currently trade just above $48/b. The recent EIA report displayed bearish factors such as a rise in stocks and stable production, helping Brent shed from its price.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased - closing at 40.13ppt and £41.43/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