top of page
Keyboard and Mouse

12/09/2022 - Weekly Wholesale Market Update

Updated: May 2, 2023

This morning, the Electric wholesale (Day Ahead) prices have opened up 1.49% higher than this time last week with Gas (Day Ahead) 34.63% higher.


On Friday, energy prices fell across the board, with Oct-12m gas futures losing 6.1% and the corresponding power contracts losing 10.4%. In a week marked by rate swings across the board and losses on Friday, 12 million contracts for gas ended with a 1.65% week-over-week premium while 12 million contracts for electricity barely managed a 12.5% overall discount. Power prices decreased as a result of declines in the overall fuel mix, with losses in the UK carbon market of almost 20%, coal of 5%, and LNG of 14%.


The EU and UK governments' hint that they are gearing up for market intervention in the near future spurred selling into profit-seeking last week, creating some much-needed bearish pressure. In spite of the UK government's announcement that it would prolong a restriction on household supplies through 2024 at an average annual cost of £2,500, information on businesses was scant, with only the oblique suggestion that assistance was on the way. The government implementing a cap comparable to that which is already in place on the domestic market will be closely watched by the markets, but it is unlikely to have a significant impact on wholesale trading because suppliers at the billing end will be bearing the cost reduction.


In other news, France has requested as much electricity as possible from the UK and Spain after one of its key regional energy providers, Électricité de Strasbourg, sold about 7 GW of electricity that had to be rebalanced at a cost of over €60 million. Even though the alarm was the result of an expensive mistake, it nonetheless highlights how stressed out the French energy network is. This next winter may not be that exceptional for such alerts.


To much controversy, the UK government likewise lifted the fracking ban. In an effort to demonstrate the safety of the practise, INEOS has offered to drill shale gas for free.


Gas storage levels reached 83.6% of capacity, Nord Stream 1 is still shut down, and unforeseen Sleipner outages have caused a 6 mcm/day decline in Norway's flow rates. The UK falls short by 2.8 mcm this morning, moving up 7.6% ahead of schedule. Losses continue lower on the curve, with the Dec. 22 NBP down 6.3% and the front-month NBP down 3.49%, in line with a 6.1% decline in the Dutch TTF.


How the market has opened each day:

DAY AHEAD PRICES

Gas (pence per therm)

Electric (£ per MWh)

05/09/2022

259.98

335.00

06/09/2022

255.00

280.00

07/09/2022

220.00

268.00

08/09/2022

369.00

288.00

09/09/2022

330.00

390.00

​12/09/2022

350.00

340.00


7 day averages


Electric (£ per MWh) 316.83

Gas (pence per therm) 297.33


The below shows how the market compares to the previous week, month and year.




When will you look at your next renewals? Get your free quote today.


Get in touch to see what is available for your next renewals. 0151 459 3388


Commenti


Keep Up To Date With Market Updates

technological-devices-with-financial-reports.jpg

Securing your next energy contract at the optimum moment is essential for fully realising your savings opportunities. Provide your details below to gain access to weekly market updates, giving you the advantage to make informed purchasing decisions at the right time.

 

Bid farewell to aggressive sales approaches from other brokers and take charge with confidence!

You're Subscribed! Look out for your first report soon!

Have More Questions?

  • Is it possible to change multiple business utilities at the same time?
    Our switching service allows you to switch multiple utilities simultaneously. We have successfully assisted multiple businesses in the UK by helping them save on various services such as energy and water with savings within 2023 already over the £2 Million mark.
  • How much can I save on my business utility bills?
    The amount you can save on your business utility bills will depend on various factors such as your current usage, the rates offered by different providers, and the specific deals available in your location. However, our switching service is designed to help you find the best deals and save as much as possible. By comparing multiple suppliers and negotiating competitive rates, we aim to maximise your potential savings. Get in touch with us to discuss your specific needs and get personalised information on potential cost savings for your business utility bills.
  • How does switching business utilities work?
    Switching business utilities involves a straightforward process. Here's a general overview of how it works: Evaluation: Start by assessing your current utility bills and usage patterns. This will give you an idea of your current costs and help identify areas where savings can be made. Comparison: Use a switching service like ours to compare different utility providers in your area. We provide you with quotes from multiple suppliers, allowing you to compare prices, contract terms, and services offered. Selection: Based on the comparison results, choose the utility provider that best meets your needs and budget. Consider factors such as price, customer reviews, contract terms, and any additional services or benefits offered. Contract Negotiation: Once you've chosen a new provider, our team can help negotiate the contract terms and rates on your behalf. Switching Process: The switching service will coordinate the transition with your current supplier and the new provider. This may involve submitting termination notices, arranging meter readings, and scheduling the activation of new services. Enjoy the Savings: After the switch, you'll start receiving services from your new provider, typically at the agreed-upon rates. You will notice savings on your utility bills, providing you with cost advantages for your business. Remember, the exact process may vary depending on the type of utility you are switching, but our switching service aims to simplify the process and assist you at every step.
  • Who are the cheapest business utility providers?
    As market conditions and prices fluctuate regularly, it's challenging to provide an up-to-date and definitive list of the cheapest business utility providers. The prices we provide you are valid and available on the day of the quote and will provide most current and competitive deals available. Our switching service helps you compare prices and offers from multiple suppliers, ensuring you have the most accurate and relevant information to make an informed decision about your business utility provider.
  • What is energy procurement?
    Energy procurement is the process of sourcing, negotiating, and securing energy contracts to meet the specific needs of a business. It involves analysing energy consumption patterns, understanding market trends, and negotiating with suppliers to obtain the best possible rates and contract terms.
  • Why is energy procurement important for my business?
    Energy procurement ensures that your business secures energy contracts that are both cost-effective and aligned with your operational needs. Proper energy procurement can lead to significant cost savings, budget predictability, and reduced risks associated with volatile energy markets.
  • How does The Smart Energy Company help with energy procurement?
    We specialise in analysing your energy consumption, understanding your specific needs, and leveraging our relationships with over 20 suppliers to negotiate the best possible contracts on your behalf. Our team ensures you get optimal rates, flexible terms, and contracts that align with your business goals.
  • How do you ensure I get the best energy rates?
    Our team continuously monitors the energy market, staying updated with trends, price fluctuations, and supplier offerings. Coupled with our in-depth analysis of your energy needs and consumption patterns, we negotiate with suppliers to secure rates that are both competitive and suited to your business.
  • Are there any hidden fees associated with your energy procurement services?
    Transparency is a core value at The Smart Energy Company. We provide a clear breakdown of any commission we earn as a company when you come to agree any new energy contract. This is typically included as an uplift in your unit rate and paid to us by the supplier you chose to go to. Our primary goal is to secure the best energy deals for you, with no hidden costs.
Business Meeting

Unlock the Potential of
Your Business Energy

At The Smart Energy Company, we're committed to offering tailored solutions that fit your energy needs perfectly. By staying ahead of market trends, we ensure you're always equipped with the most efficient and sustainable energy options. We take pride in our client-driven approach, where your feedback shapes our continuous improvement.

 

Why not schedule a complimentary consultation with one of our energy experts today? Let's find the perfect energy solution tailored to your business.

See What Our Clients Say About Us

1828884.png
1828884.png
1828884.png
1828884.png
1828884.png
56937_edited.png

Very helpful, quick expert advice. We have been using Smart Energy for a while.

56937_edited_edited.png

Ian Hughes

Operation Manager

Group of Bars

bottom of page