|Gas prices displayed mixed movement with news of a 1-month outage at a nuclear power plant in France providing support as CCGT generation will be required to make up the shortfall. Meanwhile, contracts at the back of the curve displayed losses with direction coming from falling coal and oil.
|Power prices tracked the gas curve yesterday and contracts at the front of the curve found support from the unplanned outage at the Tricastin nuclear plant in France. Like gas, prices on the far-curve were pressured down by bearish coal and oil markets.
|Prompt gas prices decreased this morning as mild temperatures should limit demand levels over the weekend and the gas system is currently oversupplied. Norwegian flows are also expected to rise next week as maintenance work is scheduled to end. Movement further along the curve is minimal as coal and oil markets have stabilised.
|The forced shutdown of Tricastin’s 4 nuclear reactors due to the implementing of flooding protection continues to support power contracts this morning, although healthy gas supply has restricted the gains. The far-curve is little changed from yesterday’s close with minimal direction provided by fuel markets.
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent 1st-nearby prices have decreased and currently trade around $57.5/b this morning, although prices will end the week at a premium. The current bearish sentiment has been provided by a stronger Dollar and on-going recovery in the US following Hurricane Harvey.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity increased – closing at 45.83ppt and £46.18/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