29th April 2019 | Posted by: Daniel Birkett | Market Analysis

Gas Power
Market Close Market Close
Gas prices were pressured down by a sharp drop in oil which resulted in a downturn across all commodity markets. Healthy storage levels and a mild weather outlook also helped to weigh on prices at the start of the session. A drop in coal, carbon, feedstocks, gas and particularly oil resulted in losses across the power curve on Friday. Strong renewables were also expected over the weekend and milder weather was forecast to return to the UK this week, weighing on the prompt.
Market Open Market Open
The UK gas system is slightly under-supplied this morning due to a drop in Norwegian flows, although LNG send-outs are strong, with 4 deliveries expected this week. Temperatures are also expected to rise above the seasonal norm over the next fortnight, helping towards losses across the near-curve. Power prices are stable-to-bearish this morning, although weak renewables have helped the prompt climb higher. A mild weather outlook has helped towards bearish movement on the near-curve, while contracts further out continue to follow weakening commodity markets.

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

Brent Summary

Brent 1st-nearby prices display a strong downward correction as Donald Trump has urged OPEC and Saudi Arabia to help reduce prices. However, despite the decrease, fundamentals remain bullish due to Iranian sanctions, a drop in Russian supply and political tensions in Venezuela and Libya.

1-year forward prices

Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased – closing at 52.50ppt and £56.69/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

energy price graph - 29-04-2019

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