25th May 2016 | Posted by: Natalie Ormrod | Market Analysis

Gas Power
Market Close Market Close
Spot and near-curve prices were mixed yesterday with lower Norwegian supply tightening the system, while a surge in the value of the Pound put pressure on prices. The stronger US dollar weakened oil prices and limited gains on the far-curve. Day-ahead power prices remained supported yesterday. Spot conditions tightened slightly, while there was less wind and solar generation than expected. Curve prices tracked the slide in fuel prices.
Market Open Market Open
Norwegian flows are increasing this morning, however supply is expected to drop next week when annual maintenance begins at the Troll field. Demand is expected to be lower on the back of higher temperatures. A stable far-curve could be affected if oil prices strengthen as the US stock report is released. Curve prices tracked a small rebound in oil prices this morning. Strength has also come from increased cloud expectations, limiting solar power generation; while wind production is expected to fall below average levels.

Brent Summary
Brent 1st-nearby prices have seen an increase of over $1.40/b to trade at $49.38/b this morning. Oil prices have risen for the first time in 5 days. The US has reduced Brent Crude storage levels to less than expected, and there have been drops in Iraqi Oil output.

1-year forward prices
Market close data has revealed that the 1-year forward price for commercial gas decreased - closing at 33.95ppt - and for commercial electricity it increased - closing at £37.16/MWh.

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 - 25-05-2016