October 14th - Energy Market Summary

UK wholesale energy markets remained broadly stable last week and the Gas and power prices were steady amid comfortable system margins, mild autumn weather, and strong renewable output.

National Grid’s Winter Outlook confirmed the highest forecast capacity margin since 2019, easing short-term supply concerns as the system transitions towards colder months.

Wholesale power markets were stable, characterised by alternating periods of strong wind and gas-led balancing.

Renewable generation remained robust, supported by moderate demand and healthy import levels from France and Norway.

Inter connectors played a key stabilising role, and nuclear output continued at reduced but predictable levels due to maintenance.

The UK gas market was calm and well-supplied.

NBP prices were broadly stable, underpinned by high European storage levels and steady LNG deliveries.

Gas demand for power generation increased slightly as wind output dipped midweek, but the system faced no notable pressure.

European gas storage: stayed comfortably above seasonal norms, reinforcing security of supply.

LNG availability: Multiple cargoes landed at UK terminals, with limited congestion and strong regas rates.

Steady system margins: Balanced supply-demand conditions limited market volatility.

Weather outlook: Milder temperatures kept residential and commercial heating demand subdued.