|Gas prices continued to move down yesterday with falling oil markets continuing to dictate the overall energy complex. Colder weather lifted heating demand but the system moved closer to balance as gas-fired power demand remained low due to ample renewable availability.
|Power contracts shed from their price during Tuesday’s session, following weaker gas, carbon and feedstocks. The prompt found support from an expected drop in renewables today, combined with colder weather but was the exception in an overall bearish session.
|The system has fallen 30mcm short this morning but 17 LNG deliveries are expected to dock in the UK over the next 10 days, reducing the impact of the current undersupply. Temperatures are also forecast to turn milder over the coming days, while fuel markets provide little direction resulting in stable gas prices at the start of the session.
|Weather forecasts have been revised higher this morning and healthy wind levels are expected until the start of March. Commodity markets also remain bearish but power contracts mirror their gas counterparts and are largely unchanged.
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent 1st-nearby prices display another loss this morning with no change to market sentiment which has been dictated by the Coronavirus, impacting economic activity across the globe.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased – closing at 28.37ppt and £37.48/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.