Energy Wholesale Market Review
Energy Wholesale Market Review Week Ending 24th October 2014
Power and gas prices were down across the board this week as milder temperatures and strong wind speeds influenced short-term contracts and low commodity prices drove the long-term. Wind power reached 24% of the generation mix over the last week and remained high helping day-ahead power fall 1.9% week-on-week. Oil and coal prices remained stable at four-year lows, with oil prices at an average of $85.9/bl this week as concerns about weak demand persisted. This kept longer-term gas and power prices depressed, annual April 15 gas fell 1.7% this week to 56.3p/th and annual April 15 power was down 1.2% to £50.6/MWh. Clean dark spreads fell this week as power prices dipped but coal remained stable. The annual clean dark spread fell 4.9% to £19.0/MWh while the annual clean spark spread remained stable at £6.6/MWh. Carbon prices increased 1.7% to a weekly average of €6.2/t after the UK government called for the actions to reduce the oversupply of allowances in the EU ETS to be brought forward to 2017.
Written By Graham PaulGraham Paul