24 August 2021

Market Price Assessment – PPA , GPA and Carbon Markets 24th August 2021

Carbon Markets :
  • The Dec-21 EU Carbon is up today at €55.93/t with the UK contract trading at £48.75/t.
  • The price for now appears to be consolidating in this range, with forecasts indicating further increases to the end of the year, despite the drop towards the end of last week.
  • The price drop was as a result of speculation from news of Nord Stream 2 pipelines large capacity opening in October.  This has a knock on affect to both EUA’s and Gas pricing.
Gas and Power :
  • Day ahead NBP gas is trading higher than yesterday this morning up at 108.5 p/th.
  • LNG regasification is nominated at 8 MCM. Gas for power demand is forecast at 50 MCM.
  • Gas demand is similar to weekly averages at around 150 MCM.
  • The front month UK power contract was last traded at £105.00/MWh, up just over 2% from last nights close.
  • Both power and gas curve contracts have been supported by bullish oil market sentiment and gains in the broader commodity complex