UK gas system ‘slightly tight’ today

The UK gas system is “slightly tight” today as a result of a pick-up in demand from exports, according to the daily market report. Despite injections to gas storage, it […]

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By Priyanka Shrestha

The UK gas system is “slightly tight” today as a result of a pick-up in demand from exports, according to the daily market report.

Despite injections to gas storage, it still remains 10% below expected for this time of the year, Tom Matthews, Client Portfolio Manager at npower said.

Gas stocks are also forecast to drop by around 3% across the day.

Looking at the power system, he added: “We’ve got a lot of comfort mainly driven by strong nuclear generation – which is around 20% of the UK’s generation stock at present – and stronger wind – which is around 5% of the UK’s generation stock.”

 

Power and gas contracts have however “opened a touch below where they closed on Thursday with no further escalations in the Ukrainian situation being the main driver”, Mr Matthews said.

The Euro has pushed lower against the Pound today which is “likely to give further direction later today”.

“The US Secretary of State John Kerry is talking to his Russian counterpart so we may see further developments later today”, Mr Matthews added.