28th September 2018 | Posted by: Lawrence Carson | Market Analysis

Gas Power
Market Close  Market Close
An oversupplied system drove gas prices down yesterday. A dip in coal and a modest increase in renewable power production also contributed. Oct-18 lost 2.2p/th in value over the course of the day and Win-18 closed at 76.75p/th down 2.25p/th from Wednesdays close. Power prices were lower across all markets yesterday. UK power fell with the sizeable move in gas, German power dropped at the front and Nordic power moved lower on the back of improving hydro levels and high precipitation.
Market Open Market Open
The system has gone short this morning as flows from Norway dropped by almost 30mcm to the UK after being rerouted to the continent. Coal, carbon and oil prices are up in the early trade action taking gas prices up with them. UK power is slightly up this morning and German power is showing mixed signals. Nordic prices remain under pressure on the front month whilst the rest of the curve is mostly neutral.

For a breakdown of the current generation mix visit our Power Generation Insights page.

Brent Summary

Nervousness about US sanctions against Iran continued to provide bullish sentiment on Thursday with Brent closing at $81.72/bbl. The announcement from the US Secretary ruling out tapping the countries strategic reserve to prevent price spikes added further worries of a supply crunch.

1-year forward prices

Market close data has revealed that the 1-year forward price for commercial gas and commercial electricity displayed small losses – closing at 70.55ppt and £66.80/MWh, respectively.

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Today’s prices can also be found in an easy to read table on our ‘current UK energy price' page.

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.