Wholesale markets remain unpredictable with a number of new drivers beginning to emerge. Global demand – or rather the lack it – appears to be the dominant driver of the day and, with no sign of this changing in the short term, prices continue to be held in check.
The latest Capacity market auction cleared its lowest price yet, reflecting what many analysts are calling an oversupplied market – something that was thought to be the stuff of fantasy just a few years ago. With more and more de-centralised generation, DSR and Interconnected generation available, the need for new large scale central power generation has eased but for how long?
Green scheme launched By continuing our commitment to help our customers save on energy costs, this month Energy Management has launched the Energy Reduction Quality Scheme which targets a long term 20% saving in energy costs purely through behavioural changes within an organisation. Site results are measured and displayed using our bespoke EM-Powered software.
While we now know for certain when Theresa May will be standing down from office, what affect her announcement will mean to energy prices is very much unknown. The need to resolve Brexit will be top priority for the new PM. Energy markets will continue to remain highly susceptible to the perceived outcome, deal or no deal.
Failure to monitor market conditions properly forces one’s hand when it comes to signing contract renewals.
At Energy Management, we are extremely proactive in this regard and the high level of vigilance undertaken on behalf of our clients enables us to procure energy at exactly the right time. It is also worth noting that energy contract renewals can be secured up to two years in advance, allowing a large window to make the most of market conditions.
With the end of this month comes some legislative changes.
April 1st introduces the new Streamlined Energy and Carbon Reporting (SECR) initiative. The main objective of
this change is to incentivise the reduction in carbon emissions by promoting energy efficiency. By increasing your energy efficiency, you ultimately reap the benefits.
Gas prices have chopped and changed over the last month, with the oil market acting as a strong influencer, download December’s energy report for more information.
The start of December saw gas prices rally due to a number of factors, download December’s energy report for more information.
Gas prices have both spiked and dipped through late October/early November and that is down to a variety of factors, download November’s energy report for more information.
The past month has seen some extreme inconsistencies in the gas market with prices rising and falling multiple times, download October’s energy report for more information.