A further report in the FT about the rise in British wholesale gas prices:

“The price of gas for delivery in January traded as high as £1.20 a therm, according to Platts, the energy news agency. Spot prices traded as high as £1.70 a therm, up from about 31p at the start of the month.

Because gas is heavily used in Britain to generate power, the wholesale price of electricity has also soared. The price of electricity for the next day rose from about £60 per megawatt-hour at the end of last week to about £105 on Tuesday.”

As the winter bites, we expect the prices of emission rights to rise, as we have argued before.

Reference:
Thomas Catan: UK gas prices surge to new heights. Financial Times, 2005-11-23 (subscription required).

This entry was posted on November 23rd, 2005 at 20:28 (GMT) and is filed under Forecasting & Modelling, Policy, UK Energy Policy . You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.