Wholesale Gas and Electricity prices rose sharply on Wednesday, primarily due to the ongoing geo-political issues.

TPG’s view is that we can expect this to be a temporary blip, and have signed contracts this week at 20p/kWh for Electricity and below 5p/KWh for Gas.

Gas: NBP Prices rallied yesterday on the back of low wind generation and short supply, expectations were that the grid would finish the day 12mcm short. Power: Despite a fall in the day ahead contract, the rest of the curve gained in value yesterday. The decline in DA pricing is likely down to strong solar output offsetting the shortfall in wind generation, combined with above average temperatures. Further out on the curve, prices have been buoyed by bullish movements in NBP contracts. Oil: Prices moved up yesterday. During early trading, prices eased on the back of Russia agreeing to stop attacks on Ukrainian infrastructure. Recession concerns brought about by US tariffs added bullish sentiment. Further support was added by the continued US attacks on Houthi rebels based in Yemen and Israeli air strikes on Gaza. Carbon (EU ETS): The ICE Dec-25 closed higher yesterday at €73.44/t. This morning the contract is trading higher at €73.54/t. Carbon (UKAs): The ICE Dec-25 rose to £46.42/t. The contract has traded upwards this morning at £46.58/t.

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