Mini Energy Report 31 January 23
- Gas and Electricity Wholesale prices are lower.
- EU Gas Storage levels are a high, 73% full.
- Large numbers of LNG shipments to Europe.
Since our last Energy Report, Gas and Electricity Wholesale prices are lower.
The government has announced that the Energy Bills Discount Scheme will replace the current, Energy Bill Relief Scheme, from 1st April 2023. At present, a generous discount is applied to contracts and deemed rates, whereas the new scheme will provide a modest discount when Wholesale prices pass a threshold. This will last for 12 months.
The continued positive supply position through January is contributing to the downward price trend, as is the forecast for a period of above seasonal norm temperatures, following the recent cold spells. EU Gas Storage levels remain high despite having fallen to 73% full, compared to 77% last week. Large numbers of LNG shipments are still being made, and the US Freeport LNG terminal is likely to resume deliveries early February. Germany now has two new LNG facilities to receive deliveries, further reducing the impact of disrupted Russian Gas flows.
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