11th July 2024 Energy Price Alert – UK Gas & UK Electricity

We are having a good week this week as wholesale Gas and Electric prices dropped still further on Wednesday, vindicating our longheld belief that there is potential for movement in the market.

It’s hard to know how much further they can go but for now completing renewals this week and next for contracts through to the end of September looks like a good call.

Gas: Nearer term gas contracts continued to fall in price yesterday. Forecasts of increased wind generation on Friday are likely to mute gas for power demand, with a forecast drop of 9mcm in demand from gas-fired stations.
Power: Power contracts fell in value yesterday. However, they are likely to be pressured over the coming days, with front week wind generation being revised downwards. The Heysham reactor 2 is offline for planned maintenance. Nuclear output is looking to average 5GW for July, which is 0.7GW below the five-year average.
Oil: Yesterday proved volatile for crude prices, with various market fundamentals weighing heavy on trading activity.
Carbon (EU ETS): The ICE Dec-24 dropped to €67.96/t yesterday. The contract is currently trading slightly down at €67.87/t this morning.
Carbon (UKAs): The ICE Dec-24 fell again yesterday, settling at £41.97/t. This morning, at time of writing, the contract is yet to trade.

#gas #electricity #businessutilities #businessgas #businesselectricity

The Procurement Group

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