6th June 2024 Energy Price Alert – UK Gas & UK Electricity

Wholesale gas & electricity prices continued to drop on Wednesday and are now down week on week

Apart from unplanned outages, which will cause the market to rise, we expect the stops, or at worst stability, to continue with no reasons for price rises

Gas: Prices continued their decline yesterday on the back of news that Nyhamna is expecting to ramp up flows from Friday. Whilst it’s not back to full service yet, this news helped bring some bearishness to the market.
Power: Movement in NBP contracts were the primary driver of power prices yesterday. Wind output is forecast at 12.2GW for the remainder of the week, whilst temperatures are expected to sit below seasonal until week 24.
Oil: There were subtle movements in oil contracts yesterday. Data coming out of the US exceeded expectations yesterday, bringing hope of increased demand. There’s also belief that the US may see a decrease to interest rates in September.
Carbon (EU ETS): The ICE Dec-24 fell to €70.34/t. The contract is currently trading at €71.06 at the time of writing.
Carbon (UKAs): The ICE Dec-24 fell to £46.53/t yesterday. The contract has opened trading at £46.6/t this morning.

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The Procurement Group

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