Power margins are comfortable today at more than 10GW, according to npower’s daily market report.
That’s a result of demand easing ahead of the long weekend and in line with milder temperatures.
Wind generation has picked up to more than 3GW currently which is helping to alleviate some of the pressure on gas-fired generation.
Gemma Bruce from the Optimisation Desk said: “Yesterday saw an increase in the spark spreads as the last Fiddlers Ferry unit stopped generating and as we move into April, we will see 6GW of coal generation come offline which is helping to keep sparks supported.”
Gas prices are trading flat to last nights close “following the rally we saw yesterday driven by an increase in sparks”.
Temperature forecasts remain in line with seasonal normal levels resulting in a balanced gas system and comfortable power margins, Ms Bruce added.
Oil prices today have continued to decline “following a build in US inventories reported yesterday. This has seen crude stockpiles at the highest level in more than eight decades,” she said.