Wholesale Gas and Electricity prices dropped on Wednesday but rose again on Thursday, the net effect is a marginal reduction over Tueday’s pricing.

At retail, we are seeing contracts coming in now with unit prices below 20p/kWh.

Generation price dropped last week to £74.33/MWh, as a result of renewables being 42% of production.

Gas: Gas prices rose yesterday. An unplanned outage in Norway’s Troll field removed almost 16mcm/day of capacity from the market for an “uncertain duration”. Additionally, demand is predicted to increase alongside the incoming colder weather. Prices also took influence from the potential escalation in the Middle East as this could cause disruptions to LNG shipping routes.   Power: Power prices gained yesterday, tracking the movements in the gas market, with far curve contracts being supported by gains in the carbon markets. In the prompt, wind generation has generated 12.1GWs/day on average, 2.5GWs above the 2019-2023 average.   Oil: Oil prices continued to rise for the third day in a row on the concerns of rising Middle Eastern conflicts and the possibility of the Strait of Hormuz being blocked, which sees 20% of daily global oil demand pass through.   Carbon (EU ETS): The ICE Dec-24 rose to €62.76/t yesterday. The contract is currently trading slightly softer at €61.92/t.    Carbon (UKAs): The ICE Dec-24 rose to £36.65/t yesterday reversing this week’s downwards trend. The contract is trading at £36.74/t at time of writing.

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