Gas demand falls – DMR

UK gas demand has fallen by around 10mcm from Friday last week. That’s because temperatures have increased compared to the last seven days, according to npower’s daily market report. Alex […]

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By Jacqueline Echevarria

UK gas demand has fallen by around 10mcm from Friday last week.

That’s because temperatures have increased compared to the last seven days, according to npower’s daily market report.

Alex Guiot from the Optimisation Desk said: “Forecasts for the coming weeks are in line with seasonal normal levels throughout so we should see demand steadily eroded as the week goes on.”

Supply has been reduced as a result of lower demand. Rough withdrawals are at 15mcm and Norwegian flows are at 69mcm.

South Hook is nominating at 23mcm today.

 

The linepack is forecast 1.5mcm short.

On the power system, the peak margin is more than 10GW and wind is generating 1.6GW.

The French and Dutch interconnectors are importing at full capacity.

Mr Guiot added: “On the power side of things we saw day ahead contracts for today trading around £38/MWh on Friday reflecting tight margins forecasts for today.”

Brent oil is currently trading lower than $40/bbl (£27.2/bbl).