UK Energy Market Summary to Friday 28th March 2025
Closing prices 28.03.2025
The NBP spot slumped by 2% to 3.3 p/kWh on Wednesday, due to mild weather forecasts against the backdrop of ongoing efforts to find a negotiated end to the war in Ukraine that could pave the way for renewed Russian energy flows to Europe.
Reduced LNG volumes in Q1 2025 supported prices on the forward curve. Hence, the Summer 2025 delivery contract rose by 0.5% to 3.4 p/kWh, while the northwest EU is expected to fall short of its winter gas storage target under all forecasts, despite a projected 7% increase in summer LNG deliveries.
At time of writing, European gas storage levels are 33% full, with the UK 21% full. European gas storage levels are trending just below the 5-year average throughout 2024. Over the past week gas has accounted for 49% of the UK generation mix with wind accounting for 10%, solar 8% and nuclear accounting for 11%. Below summarises curve prices as at close of business on Friday.
Curve UK Gas & Electricity Markets
Other Energy Markets
Crude oil prices extended gains on Thursday as concerns over tightened crude supplies and strong U.S. demand persisted. Additionally, worries about supply constraints were further amplified by the Trump administration’s renewed maximum pressure’ campaign to limit Iran’s crude oil exports.
European carbon prices fell to their lowest level in over two weeks on Thursday, driven by a sell-off following France’s proposal for a price cap on the bloc’s carbon allowances.
