Spot power prices saw mixed movement on Friday, but are expected to soften during today's session. Another nuclear reactor came offline on Friday however all nuclear capacities are expected to be available by November. Renewable output is expected to be strong today.
Friday's session saw gas prices rise due to supply tightness as demand increased above the seasonal average. Further forecasts of below average temperatures are expected to provide some support to the curve, however higher Norwegian supplies and the prospect of LNG deliveries should limit any significant movement.
Today's prices can also be found in an easy to read table on our 'current UK energy price' page.
How did the energy markets close?
UK gas prices increased during Friday's session due to supply tightness, despite increased Norwegian flows. Consumption was higher than seasonal norms which offered support to near curve prices.
There was mixed sentiment across the power curve on Friday with October contracts rising to a new high for several sessions. Further support came from an increase in natural gas products due to stronger injection demands at the Rough storage facility.
How did the energy markets open?
Gas prices were pushed down this morning because the UK system is over-supplied as Norwegian flows have increased from Friday. Alongside this, seven LNG deliveries are expected across the UK, Belgium and the Netherlands at the start of October.
Power prices were generally down this morning as wind production is expected to increase today and tomorrow. Spot prices are expected to register further losses today as solar generation is also expected to be strong.
1-year forward prices
Market close data has revealed that the 1-year forward price for both the commercial gas and electricity decreased slightly - closing at 40.74ppt and £41.78/MWh, respectively. This can be seen in the graph below.
Note: Brent Crude prices are taken from opening market data, and do not represent the price as it changes throughout the day.
Latest Brent Crude Price
Brent 1st-nearby prices remained steady this morning with no major movement expected today. The weak economic outlook and forecasted reductions in US output continue to provide mixed momentum to prices.