UK Energy Market Summary to Friday 28th February 2025
Closing prices 28.02.2025
British spot gas prices experienced a decline on Wednesday, influenced by higher renewable energy output and lower demand due to warmer-than-average weather. Thus, NBP spot dropped over 5.4%, settling just above 3.4 p/kWh. In further developments, the Summer 2025 delivery contract plummeted by 6.6%, closing at 3.4 p/kWh.
British spot gas price surged on Thursday, driven by lower renewables output and higher demand. Thus, NBP spot jumped by over 9%, settling at 3.7 p/kWh. Further along the curve, the Summer 2025 delivery contract soared by 8.4% to 3.7 p/kWh, as price parity with Asia heightened competition for LNG shipments.
At time of writing, European gas storage levels are 38% full, with the UK 22% full. European gas storage levels are trending just below the 5-year average throughout 2024. Over the past week gas has accounted for 35% of the UK generation mix with wind accounting for 26%, solar 5% and nuclear accounting for 13%. Below summarises curve prices as at close of business on Friday.
Curve UK Gas & Electricity Markets
Other Energy Markets
U.S. President Donald Trump revoked Chevron’s licence to operate in Venezuela, driving crude oil prices higher on Thursday. Brent crude rose by over 2% to slightly above $72 per barrel.
On Thursday, European carbon prices strengthened, tracking a technical spike in natural gas prices. As a result, EUAs expiring in Dec-2025 increased by 2.5%, settling at 72.78 EUR/tonne, recovering from recent lows.
