Gas demand lower – DMR

Demand for gas in the UK has dropped, according to npower’s daily market report. Tim Carter from npower’s optimisation desk said that is due to an increase in wind generation. […]

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By Jacqueline Echevarria

Demand for gas in the UK has dropped, according to npower’s daily market report.

Tim Carter from npower’s optimisation desk said that is due to an increase in wind generation.

He added: “[It] has picked up to reduce the demand from CCGT generators although lower temperatures have increased the domestic demand a touch.”

The linepack is currently forecast at 8mcm long.

The UK’s Interconnector exports are “in line” but storage injection has dropped as Rough will shut for maintenance works until later this month.

 

Mr Carter said: “There is no injection demand from Britain’s largest storage facility. We’ve also seen LNG send-out pick up a touch to just under 40mcm today and pipeline flows are relatively stable.”

Oil prices picked up yesterday afternoon after the release of official US crude stocks showing a build of 4.7 million barrels.

Mr Carter added: “That’s normally quite bearish but actually in comparison to an official API [American Petroleum Institute] data released the day before which suggested 7.6 million barrels build, it’s actually helped support prices and picked up from $49 where they were yesterday morning.”