Innovative Energy Consultancy Ltd
Innovative Energy Consultancy Ltd

Business energy market trends

Power market trends

What’s been happening?

  • The annual October 16 baseload power contract improved 1.8% to average £35.0/MWh following both gas and commodity markets higher.
  • In contrast, day-ahead power followed its gas counterpart lower, losing 1.2% to average £33.9/MWh.

Key market drivers

  • Recent surges in commodity prices have helped to support seasonal power prices.
  • Milder weather at the start of the month helped to reduce demand which, in turn, supressed day-ahead power prices.


IEC Electricity Prices 2012 -16

       * £ per MWh (Annual forward average)

Gas market trends

What’s been happening?

  • The annual October 16 gas contract gained 1.0% to average 32.0p/th. Winter16 gas was 0.7% higher, averaging 33.5p/th. Summer 17 gained 1.3% to 30.5p/th.
  • Day-ahead gas moved 2.1% lower during April to average 29.0p/th, hitting a seven-year low of 27.0p/th on 11 April.

Key market drivers

  • Seasonal gas contracts have followed oil prices higher, moving away from the seven-year lows seen last month.
  • Reduced demand amid milder weather pressured prices lower.  A number of pipeline disruptions did lead to higher day-ahead prices, but not enough to push the average higher.
IEC Gas Prices 2012 -16

          * £ per p/therm (Annual Forward Average)


European market trends

  • All European gas prices increased in April, following a rise in commodity prices.
  • GB prices ended the month 1.3% below Belgian prices, 6.5% above German prices and 3.7% higher than Dutch prices.
  • European power prices showed mixed movements in April.
  • German prices experienced the largest gains, up £3.0/MWh to £35.2/MWh.
  • GB prices ended the month 59.0% above the European average of £22.2/MWh.


Thank you! Your subscription has been confirmed. You'll hear from us soon.
Sign up to receive Energy Brief, which includes our monthly report on Industry News and Market Price Trends.