Monthly Price Brief: A Review of European Gas and Power Price Trends

Content

• Datamonitor Viewcatalyst
• Summary
• Analysis
  • Medium-Term Energy Supply Looks Stable, Despite National Grid's Warnings
  • The Average Number of Hdd In November Illustrates That A Cold Snap In Winter 2007-08 Is Not Guaranteed
  • Uk Wholesale Power Traded Around The Seasonal Norms
  • Nbp Gas Prices Showed Similar Stability To Power Prices
  • The Uk Ranks Lowest In The European Storage Capacity Table
  • European Baseload Power Prices Firmed Across The Board During Q4
  • In Belgium, Near End Prices Firmed While Year Ahead Contracts Remained Stable
  • French Power Prices Spiked As The Winter Cold Snap Took Effect
  • German Baseload Prices Rose Sharply As Temperatures Dropped
  • Dutch Power Prices Pivoted, As Bullish Tones Dominated Baseload Trading Across Northwest Europe
  • The Uk Showed Signs of Pricing Stability As Firmness Characterized The Fourth Quarter
  • European Gas Prices Were Affected By Seasonal Pressures In Q4
  • In The Uk, Bullish Nbp Speculators Continued To Push Up Gas Contract Prices
  • Supply Concerns And The Late Arrival of Cold Weather Sent Prices Up At The Dutch Ttf Hub
  • Belgium's Zeebrugge Hub Followed The Nbp, Spiking More Sharply At The Near End of The Curve
• Appendix
  • This Brief Builds Upon Datamonitor's Extensive Pricing Proposition
  • Glossary
  • This Brief Contains A Number of Industry Standard Terms
  • Our Analysis Builds On Other Sources To Provide Greater Insight
  • Further Reading
  • Extended Methodology
  • We Assess The Profitability of Fossil Fuel Plants Across Northwest Europe
  • Our Bespoke Services Can Be Tailored To Your Specific Needs
  • Ask The Analyst
  • Datamonitor Consulting
  • Disclaimer
• List of Figures
  • Figure 1: The Inconsistent Number of Hdd During November Suggests That The Coldest Winter Temperatures Were Not Seen During The Month.
  • Figure 2: Average Power Prices In October Were Marginally Above The Seasonal Levels For The M+2 Contract
  • Figure 3: Barring The Spike In 2005, Gas Prices Are Stable And Hover Around The Seven-Year Mean.
  • Figure 4: The Uk Ranks Lower Than Its Continental Competitors, As Securing Supply Is The Number One Priority.
  • Figure 5: European Baseload Power Prices Firmed Across The Board During Q4
  • Figure 6: The Near End of The Curve Prices Rose During September And October In Response To Short-Term Demand Drivers.
  • Figure 7: Year Ahead Prices Firmed; However, Short-Term Concerns Were Evident At The Short End As Prices Spiked Abruptly.
  • Figure 8: Month And Quarter Ahead Contract Prices Spiked Significantly, Reaching A Three-Year High On The Quarterly Contract.
  • Figure 9: As In Germany, Dutch Baseload Power Prices Increased On All Contracts, Particularly On The Month And Quarter Ahead Products.
  • Figure 10: Prices Turned Upwards As Traders Felt The Winter Cold; However, Expectations Appeared To Be Seasonal.
  • Figure 11: European Gas Prices Were Affected By Seasonal Pressures In Q4
  • Figure 12: Traders Pushed Up Gas Contract Prices At The Nbp, But Remained Undecided On Price Stability On The Far Side of The Curve For 2008-09.
  • Figure 13: Prices Increased Sharply At The Ttf With A Late But Significant Drop In Temperature.
  • Figure 14: As With Prices At The Nbp, The Belgian Gas Hub Saw Higher Prices As Winter 2007-08 Set In.
  • Figure 15: Energy Pricing Proposition
  • Figure 16: Generation Spread Methodology