Wholesale gas and electricity prices continued to rise slightly on Thursday in the immediate term.

April and October start contracts also rose, albeit only slightly.

On the generation side the past week still saw the generation cost at a high level at £87.98/MWh, though it is lower than the week before. Renewables were the driving factor at nearly 40%, followed by fossil fuels at 35.5%.

Gas: Gas prices continued to rise in the prompt due to a lack of wind generation and increased demand due to low temperatures, increasing the need for Gas-fired output. This comes despite the UK expecting to receive several LNG cargoes over the next week. Curve prices were dragged upwards by the bullish prompt. EU and GB storage fullness is at 52%, down 11% year on year.  Power: Power prices continued to track the underlying energy markets. The lack of renewable generation is increasing demand for Gas and Carbon. Forecasts show a low wind output average of 7.3GWs/day for the remainder of week 3 and 10GWs/day for week 4 (next week). Curve prices continued the trend of being supported by bullish Gas and Carbon markets.    Oil: Oil prices fell by 4% yesterday, ending the 5 days of continuous gains. President Trump commented that Iranian protests were easing, which softened the market sentiment over possible military intervention against Iran and oil supply disruptions.    Carbon (EUAs): The ICE Dec-26 continued to rise yesterday, ending the day at €92.24/t. The contract has opened at €92.20/t this morning.    Carbon (UKAs): The ICE Dec-26 continued to rise yesterday, closing at £72.82/t. The contract opened higher at £72.99/t this morning.

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