Energy Wholesale Market Review
Energy Wholesale Market Review Week Ending 28th October 2016
This week all gas contracts and most power contracts experienced gains. Day-ahead gas went up 2.2% to 46.3p/th. On Wednesday, the contract reached 48.0p/th, the highest price since April 2015, as gas demand for power generation and heating rose on Thursday. The day-ahead baseload power contract lost 15.6% to £76.0/MWh, however the price jumped day-on-day with negative surplus capacity margins and very low wind generation forecast for Monday. The month-ahead baseload contract gained 0.7% to £69.8/MWh, amid supply fears following news that the French nuclear regulator has asked for additional checks on five of EDF’s reactors. Brent crude oil prices lost 1.0% this week to average $51.2/bl. On Wednesday, Brent crude oil decreased to $50.3/bl, a three-week low, as doubts grew over OPEC cuts. API 2 coal prices increased 4.9% this week to average $70.6/t. On Monday API 2 coal reached $71.0/t, the highest price since December 2014. EU ETS carbon prices increased 1.6% to average €5.8/t.
Energy Wholesale Market Review Week Ending 28th October 2016
Energy Wholesale Market Review Week Ending 21st October 2016
For the first time in six weeks, not all gas contracts made gains. Day-ahead gas rose 6.0% to 45.3p/th. The contract reached a 17-month high on Wednesday, priced at 45.3p/th, on lower imports and a cooler weather outlook. In contrast, most seasonal gas contracts decreased. The day-ahead contract went up 66.7% to £90.0/MWh, with negative surplus capacity margins forecast for Monday. The month-ahead contract gained 10.5% to £69.3/MWh, amid supply fears following news that the French nuclear regulator has asked for additional checks on five of EDF’s reactors. This is expected to raise French prices and reduce interconnector imports. Summer 17 was up 1.0% to £44.6/MWh, under the influence of higher gas prices. On Tuesday 18 October the contract reached £45.1/MWh, its highest price since March 2015. On Tuesday 18 October API 2 coal climbed to $70.0/t, a new 21-month high. On Tuesday, EU ETS carbon prices reached a four-month high of €6.0/t.
Energy Wholesale Market Review Week Ending 21st October 2016
Energy Wholesale Market Review Week Ending 14th October 2016
For the fifth week in a row, all gas contracts experienced weekly gains. Oil and carbon prices were also higher this week, whereas power contracts experienced varied movements. Day-ahead baseload power fell 43.2% to £54.0/MWh, after reaching £95.0/MWh last Friday. Prices were supported by a surge in French prices, which reduced imports to zero for much of the week. Summer 17 power increased by 1.1% to £44.1/MWh, an 18-month high, under the influence of higher gas prices. Day-ahead gas went up 0.6% to 42.8p/th, a 14-month high, with an undersupplied system at the end of the week. Gas for summer 17 delivery rose 1.6% to 42.8p/th, a 15-month high, with a rise in oil prices. Brent crude oil prices rose 1.5% this week to average $52.3/bl, with prices reaching a one-year high of $53.5/bl on Monday afternoon, after Russia said it was ready to join a proposed deal to cap oil production. API 2 coal prices slipped 0.6% this week to average $64.2/t.
Energy Wholesale Market Review Week Ending 14th October 2016
Energy Wholesale Market Review Week Ending 7th October 2016
For the second week in a row, all gas and power contracts and commodities experienced price gains. The day-ahead contract jumped 86.3% to £95.0/MWh, due to high expected demand leading to a low operational surplus and low wind generation forecast for Monday. A boost in French prices saw zero French interconnector imports on Friday. The day-ahead gas contract went up 19.7% to 42.5p/th, a year-high, with higher demand this week. On Friday 7 October, prices were supported by system undersupply as imports from the Netherlands and Norway fell and LNG deliveries remained unscheduled. Summer 17 power increased by 8.7% to £43.6/MWh, following its gas counterpart higher. On average, Brent crude oil prices rose 9.4% to average $51.5/bl. On Friday 7 October prices rose to $52.7/bl, a near one-year high. API 2 coal prices gained 3.5% this week to average $64.6/t. On Thursday 6 October, the API 2 coal price rose to $66.9/t, the highest price in 21 months. EU ETS carbon prices rose 15.0% to average €5.5/t. On Thursday 6 October, EU ETS carbon jumped to €5.9/t, the highest price in almost four months.
Energy Wholesale Market Review Week Ending 7th October 2016
Written By Graham Paul
