Wholesale Gas and Electricity prices dropped on Wednesday, and the 1 year April ’25 price for Electricity is now back below £80/MWh.

As we go into Winter, you can see that the curve is now no longer flat. There is a marked variance between the 1 and 2 year pricing, with a smaller variance between the 2, 3, 4 and 5 year pricing. This tells us that suppliers are expecting prices to drop in the coming years and the numbers support TPG’s repeated claims that there is a further 10% available.

Gas: NBP contracts incurred small movements yesterday, with contracts trading down day on day throughout most of the curve. This morning, most contracts are trading up on last nights close.   Power: Power contracts traded down throughout the majority of the curve. Lower than expected wind output pressured the day ahead contract. Early morning trading is up on last nights close.    Oil: This morning, the front month contract is sitting around $74.42/bbl. The market is keenly watching Middle East developments, the gains experienced due to escalation of the conflict last week have now been re-traced. There is anticipation over API and EIA data that is set to be released later in the week.   Carbon (EU ETS): The ICE Dec-24 closed at €63.03/t yesterday. The contract last traded at €63.35/t at time of writing.   Carbon (UKAs): The ICE Dec-24 closed at £38.58/t last night. The contract last traded at £38.48/t so far this morning.

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