energy markets

How flex price signals differ across TTF vs NBP | 10 Dec, 2018

The European gas market is formed around a well interconnected network of traded hubs. Liquidity at most of these hubs is limited to a short-term hori ...

Boosting midstream asset value capture | 03 Dec, 2018

This decade has been a tough one for owners of flexible midstream gas assets such as storage, pipelines & regas terminals. Asset returns have been ...

European gas price rally hits reverse | 26 Nov, 2018

European hub prices doubled between July 2017 and September 2018.  50% of that move happened in Q3 2018. Through the objective barometer of market pr ...

Shock suspension of UK Capacity Market | 19 Nov, 2018

Last Thursday the UK government abruptly halted the Capacity Market to comply with a European Court of Justice (ECJ) ruling.  The implications of thi ...

Quantifying wind & solar intermittency | 12 Nov, 2018

Averaging wind and solar output volumes reveals some structural patterns.  Wind output tends to be higher during the day time than at night and has a ...

Russian capacity to get gas into Europe | 05 Nov, 2018

As winter approaches the European gas market is looking east.  A tight market increases the importance of Russian flows to maintain orderly hub price ...

Power plant optionality & dispatch cost hurdles | 29 Oct, 2018

The transition taking place in European power markets is reshaping supply stacks. Retiring coal, CCGT & nuclear plants are being replaced with a c ...

3 key factors driving European hub prices | 22 Oct, 2018

European hub prices have roughly doubled since Summer 2017 from 5 to 10 $/mmbtu (15 to 30 €/MWh).  Half of this price move has happened in a surge ...

UK battery investment 3: building an investment case | 15 Oct, 2018

The current interest in UK merchant battery investment is supported by some powerful fundamental drivers. The most important of these is a strong case ...

Global gas market risk shifting to the upside | 08 Oct, 2018

Price behaviour is the most objective barometer of market balance.  And gas prices in 2018 are signalling a tightening market. Two price moves this y ...

Battery investment 2: Monetising battery value | 01 Oct, 2018

2019 may be the breakthrough year for merchant battery investment in the UK.  Battery developers have re-focused investment cases on wholesale market ...

Building an energy trading capability | 24 Sep, 2018

To trade or not to trade. This has been a philosophical question confronting energy company boards since the liberalization of energy markets. Trad ...

Carbon surge driving up TTF & spot LNG prices | 17 Sep, 2018

A carbon price surge in Europe pulling up LNG prices in China? This may sound like a case of the butterfly effect. But the current tandem rise in carb ...

How fuel & carbon prices are driving switching | 10 Sep, 2018

Switching dynamics of gas for coal plant has been a key theme of this blog.  Power sector switching is one of three key mechanisms currently setting ...

UK battery investment 1: business model transition | 03 Sep, 2018

Battery storage broke through the investment viability barrier in the UK’s 2016 capacity auctions. 200MW of batteries were successful in the 2016 ...

European gas hub linkage to the LNG market | 27 Aug, 2018

LNG imports account for about 10% of European gas supply (~60 bcm in 2017). Remaining supply is split fairly evenly between domestic production (domin ...

European emissions: Germany in focus | 20 Aug, 2018

European carbon emissions have declined 10% over the last decade, mainly driven by a reduction in power plant emissions. Renewables have led policy ef ...

Global emissions: running to stand still | 16 Jul, 2018

Decarbonisation has rapidly become one of the driving forces of energy market evolution across the last decade. It is shaping the energy policy landsc ...

How FSRU’s are impacting LNG market evolution | 09 Jul, 2018

Floating Storage and Regasification Units (FSRU) combine the key elements of an LNG vessel and regas terminal in a single unit. This can significantly ...

Renewables can plug the French capacity gap | 02 Jul, 2018

We recently considered Belgium’s challenges in replacing thermal capacity with renewables.  The conclusion: the viability of this approach is risky ...

LNG supply next wave: the challengers | 25 Jun, 2018

We set out the prospects of the ‘Top 5’ LNG producers club last week. Amongst these, Qatar is the only ‘sure bet’ contributor to the next wave ...

Next LNG supply wave: the 5 major players | 18 Jun, 2018

The current wave of new LNG supply consists of more than 150 mtpa of committed liquefaction projections coming online between 2015 and 2022. But consi ...

Monetising European gas storage value | 11 Jun, 2018

Storage capacity is a feature of most European gas portfolios.  Traders and portfolio managers use storage as a key source of midstream flexibility t ...

A new UK CCGT despite no price signal | 04 Jun, 2018

The 8 £/kW clearing price in this year’s capacity auction presented a serious roadblock for new CCGT projects. But Scottish utility SSE has mounted ...

Belgium’s nuclear driven capacity crunch | 29 May, 2018

Belgium’s nuclear driven capacity crunch Nuclear power is not popular in Belgium. Belgium’s nukes are even more unpopular with Germany and the ...