Resonance Podcasts: Recent Episodes
Alfa Energy Group
Resonance is an Alfa Energy Group podcast series where we explore some of the latest insights from the energy and sustainability sector as it goes through a significant transformation. Fuelled by new challenges, new ideas and new technologies, we discuss what it means for businesses to realise their energy and sustainability ambitions.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Dan Veasey as we see extreme heat in Southern Europe.
Topics explored include:
- Not much response in pricing to extreme heat, although there is some reduced capacity of the French nuclear fleet.
- Demand has increased in southern Europe, but there is significant renewables generation to counter that right across Europe.
- The variability of renewables and the impact on the management of grid.
- Norwegian gas production increases following the return of a major processing plant. Further maintenance lies ahead next month.
- LNG drops, but meets demand and storage is expected to be at capacity going into winter.
- However, any significant cold snap or supply disruption still presents a real risk for both winter and next summer, especially with LNG demand in Asia picking up.
- The threat to remaining Russian gas supplies.
Listen to the latest episode of the Resonance podcast. This episode was recorded on 18th July 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Henry Homer as we return to equilibrium, but the fragile balance of supply and demand is causing challenges across Europe.
Topics explored include:
We return to equilibrium, but hydro and nuclear capacity remain a risk.
- Renewables have improved and softened markets, but being intermittent present a challenge to stability without the appropriate storage technology to better manage grid supply.
- Demand destruction is coming to the fore, with natural gas demand in May 23 25% down on average across EU member states, compared with the average for May between 2019-21.
- What does the new European normal look like?
- What would a difficult scenario mean for prices in Q4 2023?
Listen to the latest episode of the Resonance podcast. This episode was recorded on 7th July 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Dan Veasey discuss the market implications of Europe reaching full storage capacity by the end of summer, as well as the potential impact of unexpectedly mild weather.Topics explored include:
- Short term spike on mutiny news, but no fundamental changes to gas flows from Russia.
- Intra-day volatility has returned somewhat, driven by supply constraints. E.g. Extension of maintenance at a gas processing facility in Norway; expected to be resolved in July. We’re not back to end of June price lows, but far from way off highs at time extension was announced.
- Gas storage good in Europe – stores 76% full
- Inflation and high interest rates may have a marginal impact on forward pricing due to less demand for commodities
- Coal generation still on track to be phased out, despite requirement for baseload power
- Concerns about renewable energy supply chain, as with rest of energy sector, new wind perhaps more expressive than expected and CODs not attractive enough to drive new generation development. Skills gap may also need to be filled.
- The Dutch government has confirmed that the Groningen gas field will close in October, mainly due to earthquake issues in the area.
- It is expected that US LNG cargoes will increase over the next few months, which will help boost storage.
- With storage close to capacity, if we don't see an increase in demand going into September and the weather is milder than expected, the markets will adjust to encourage demand or reduce production. However, further unplanned outages, extreme hot weather, and nuclear outages in France could of course affect this situation.
This episode of the Resonance was recorded on 27th June 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Henry Homer about why Europe is not out of the woods in energy price concerns.
Topics explored include:
- Complacency reigns following the price plunge, as gas price spike highlights market risks.
- Focus on structural dangers to manage price risk.
- Storage in Europe is not up to the challenge of a cold winter.
- The recent spike caused by minor issues only – extended maintenance in Norway and demand from Asia.
- Renewables are supporting the market, but intermittent production due to weather creates a volatile market.
- Policy and contract length to provide adequate baseload is weak across Europe – a shift is needed to manage price volatility during the transition to a low carbon economy.
- Watch out for nuclear production, hydro and LNG demand in East Asia as we head towards Q3 2023.
- While Germany industry is concerned about a cut in remaining Russian gas supplies.
This episode of the Resonance was recorded on 20th June 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Dan Veasey about the return of energy market price volatility.
Topics explored include:
- Power market balancing met by coal generation with nuclear reactors offline and demand increases with warmer weather.
- Reductions in LNG arrivals indicates a general slowdown of deliveries as Asia becomes a more attractive destination.
- Volatility returns after months of falling prices.
- The state of the global economy puts downward pressure on oil prices.
- Despite plans to diversify supply generation for power, a huge reliance of gas remains while storage technologies are developing to meet the needs of intermittent renewable generation.
This episode of the Resonance was recorded on 13thJune 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Henry Homer about the relative calm we are experiencing, and why it is at risk as we head into the summer months.
Topics explored include:
- A price plunge, but what next for Europe?
- What about carbon given its volatile past?
- Why persistent structural risk puts the relative calm in jeopardy.
- Demand destruction in Europe due to lack of supporting policy.
- Supply availability while good at present, is countered by higher supplier margins – more so in Europe than the UK.
- Across Europe the percentage of commodity costs has increased relative to non-commodity costs:
- Management of commodity costs has once again become an important feature for good delivered energy prices.
- Will this trend continue with the potential to make Europe attractive for industry once more?
- If you haven’t already, why you should be looking to tender your supply now.
This episode of the Resonance was recorded on 6th June 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Dan Veasey as near-term energy prices continue to fall, the risk to LNG supply from the US and demand from Asia arises.
Topics explored include:
- UK renewable assets lower demand for gas, seeing exports to Europe where prices are at a premium.
- Responding to falling LNG prices, Asian buyer demand tentatively returns to the market.
- If prices continue to decline the US may reduce LNG shipments.
- Structurally the UK and Europe may remain uncompetitive for manufacturing for some time.
This episode of the Resonance was recorded on 30th May 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Henry Homer as prices fall, discussing the innate risk of a single source of supply for gas.
Topics explored include:
- Structural issues effecting European markets remain.
- The 3 pillars – weather, LNG and storage.
- TTF prices falls, but only for near term spot and month ahead purchases.
- LNG remains structurally more expensive, while east Asia switches to alternative supplies, for now.
- Will that change when LNG prices reach a pivotal level?
- Water levels are a cause for concern ahead of August, reflecting on the peak of prices last year.
- When not to tender as risks lie ahead.
For details of the discussion, listen to the latest episode of the Resonance podcast below.
This episode of the Resonance was recorded on 23rd May 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Daniel Veasey as prices soften ahead of the summer.
Topics explored include:
- Softening of near-term pricing while winter prices hold.
- Economic data impacts oil prices, despite OPEC cuts.
- With LNG delivery at record levels, do falling prices risk supply being diverted to Asia?
- While supported in recent weeks with increased rainfall and wind power generation, sensitivities around the impact of a mild winter on hydro remain.
- If the Russia and Ukraine war escalates, risk remains over LNG supplies to Europe.
- As energy prices in Europe fall, is a recovery in industrial demand underway?
- UK energy intensive industries are advised to explore government support now.
This episode of the Resonance was recorded on 4th May 2023.
In this week’s Resonance energy market podcast episode, as markets plateau, Jeremy Nicholson talks to Alfa’s Henry Homer about the structural dangers that remain and the risk of a rapid return to higher prices.
Topics explored include:
- As we enter Q2 we see a more supply-based market where equilibrium is returning.
- Joint European energy purchasing raised during the height of the energy crisis subsides, for now.
- With shocking prices over the energy crisis, many buyers wonder if they should wait or move now on contracts, prices, and where.
- A supplier market remains, but what does that mean?
- Recent articles in the market press talk of gas oversupply, but what does the fragility of Europe’s gas balance mean in terms of the risk of a rapid return to higher prices?
- Supply issues from Norway and France discussed in previous episodes persist, creating uncertainty across Europe, an issue compounded by nuclear generation in Germany being consigned to history.
- This sees a huge reliance on LNG, intensifying risk between now and 2025, sustaining premiums in prices at least until then.
This episode of the Resonance was recorded on 20th April 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Daniel Veasey about the recent volatility in energy markets and what that might mean for the remainder of 2023.
Topics explored include:
- Banking crisis triggered a sell-off in oil, followed by OPEC taking the market by surprise with planned cuts in production
- Power and gas volatility caused by French strikes and cold weather in the short-term
- A warning of big swings in prices over the next 6 months
- Maintenance season to begin with concerns over the likelihood of French nuclear returns
- Gas storage injection season is expected to be comfortable with LNG deliveries supportive for now, but dynamics could change quickly
- Risk remains, including: the potential for demand from Asia; drought warnings across Europe; the potential for a lack of wind, and of course; the Russian/Ukraine conflict
This episode of the Resonance was recorded on 4th April 2023.
In this week’s Resonance energy market podcast episode, Jeremy Nicholson talks to Alfa’s Henry Homer about energy markets, the current equilibrium, and the supply risks ahead in 2023.
Topics explored include:
- Weather, storage and LNG find a new equilibrium for European prices, for now.
- A lack of snow and rain brings challenges for Europe’s hydro power.
- Considering the impact of the French nuclear fleet had on the dramatic fall in prices, what does the state of an aging fleet mean for European power prices?
- Does the reliance on LNG mean high prices for gas will become the norm?
- What does that mean for operations in Europe, when competing with other world regions?
- Is there a risk to LNG prices from Asian demand?
This episode of the Resonance was recorded on 23rd March 2023.
You can read more about this topic in our article "What does the state of French nuclear plants mean for European energy prices?"
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Daniel Veasey about energy prices today and ahead, with significant falls in prices of gas and electricity over the last 6 months.
Topics explored include:
- The impact on risk premiums - Storage at record highs across Europe for the time of year, demand destruction, energy efficiencies and strong LNG supplies contribute.
- European energy prices remain high in the global arena, impacting business competitiveness.
- Despite the cold snap in northern Europe and a tightness in power generation, there is little impact on power prices as we head towards the summer season.
- Carbon remains high and on the increase, testing technical levels.
- Risks for the immediate future: Asian LNG demand, the nuclear fleet in France, Russian supplies to Europe when considering LNG volumes, and the impact of hot summers on power generation with multiple risks from droughts across Europe.
This episode of the Resonance was recorded on 9th March 2023.
For our first Resonance energy markets podcast of the year, Jeremy Nicholson talks to Nicola Pollard, Energy Markets and Risk Manager at Alfa Energy Group, about the extraordinary events of 2022, looking ahead to 2023 and beyond.Topics explored include:
- Storage and market mechanism issues, tensions and the subsequent invasion of Ukraine
- Government market interventions across the UK and Europe and the energy crisis pushing prices to unsustainable levels for business operation
- The need to focus on security of supply
- LNG, a saviour to supplies in 2022, but at what cost and what issues need to be considered for 2023?
- The environmental impact of the dash for coal in Europe
- Weather provides further relief for winter, but will investment in strategic storage push up prices?
- Energy remains a strategic procurement to manage risk and ensure appropriate governance
- Support for business from government in 2023
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about European energy markets and pricing, aspoliticians signal intervention in the energy crisis.Topics explored include:
- OPEC+ send a signal to the market as prices have fallen since June.
- Volatility reigns as political intervention talks are planned.
- The reality of the challenge facing businesses is essential to address now to avoid economic catastrophe.
- What about carbon as the crisis is fought with increased fossil fuel generation?
- How does the new UK government manage the current crisis, without derailing the flagship net zero agenda?
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about UK energy markets and pricing, as gas prices reached 11 times higher than a year ago.Topics explored include:
- The simple truth is there is too much demand and not enough supply.
- Wholesale gas reaches levels 11 times higher and electricity 9 x higher than 12 months ago.
- There’s a limit to what can be done on supplies.
- Germany remarks that NS1 coming back in any meaningful way is a pipedream.
- Will September see a relief to the vacuum of pricing over the holiday season?
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about European energy prices, as Russia announces fresh short-term maintenance on NS1 and the market reacts.Topics discussed include:
- Markets are through the roof following unplanned maintenance of NS1
- What might happen to prices if NS1 gas flows return
- 80% gas storage levels across Europe are still expected to be met
- Carbon tested highs in early August, but is now retracing due to lower industry demand
- German industry at risk due to lower gas supply as minister questions relieving sanctions
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa's Jason Durden, Head of Energy Markets and Risk Management, about the current energy crisis being one of price more than storage.Topics explored include:
- 6-month low for Brent crude and other commodities.
- Oil refinery data suggests Chinese growth is down whilst OPEC and the IEA differ on outlooks for the balance of 2022.
- Property crisis in China likely affecting demand.
- Surge in LNG deliveries to the UK and Europe.
- Gas flows continue to trickle in through Nord Stream 1.
- Gas storage at 86% in France, 77% in Germany and Italy. 19 days till EU’s -%+ storage target is met, albeit at great cost.
- Rising risk of default with delivered costs approached £1/kWh.
- Reliant on Russian gas for some time to come - no quick solutions via electrification of heat, more renewables, energy efficiency, or production of own gas.
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about European energy prices, as the storage milestone for gas is expected to be met in early September.Topics discussed include:
- Oil is weaker due to economic data, while supply interruptions have disturbed the fundamentals
- Carbon in Europe will continue its run till around mid-September
- No changes to gas supplies in recent weeks, but low liquidity and carbon is pushing gas higher
- What might happen in Europe when 80% of gas storage is expected to be met in early September
- Positive market news as new US gas exports expected ahead of winter, Germany indicates extending nuclear fleet use, EDF to keep French fleet running during heatwave to avoid blackouts, and a new nuclear plant in Finland begins operational testing
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about UK energy prices, as we look at the current market situation and consider the winter ahead on prices, the economy and security of supply.Topics explored include:
- UK NBP gas prices at a 25% discount to Europe.
- No business in Europe can sustain current prices, even if currently comfortably hedged - will production switch to UK operations?
- Suppliers prepare for tough period ahead as unsustainable prices continue, a policy vacuum persists while politicians take time off to holiday, and recession looms.
- Security of supply paradox for the winter ahead – supply will be available, but it might not be affordable.
In this week’s Resonance energy market podcast, Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the continued challenges of gas flows into European energy markets and where there is value to be secured.Topics discussed include:
- Nord Stream gas flow resumes but at significantly reduced rates
- Year-ahead gas prices reach new highs
- UK considering an increase in export capacity to Europe
- LNG imports to UK reduce as exporters take advantage of higher pricing in Europe
- Power spot price in Germany hits 500 euro/MWh: although high, might provide some value if gas imports remain tight or other issues arise going into winter.
- Wind output remains under seasonal norms. Small uptick for Germany; nothing that will help prices significantly.
- 15% reduction in gas usage agreed by most EU countries. This will lead to more coal being burned, therefore higher power costs and carbon emissions.
- Some manufacturing companies already curtailing production due to high gas and power prices.
In this week’s Resonance energy market podcast, recorded on 20th July, Jeremy Nicholson talks to Alfa’s Jason Durden about UK energy prices, as the market mulls NS1’s awaited return and gas demands from Europe.
Topics explored include:
- NS1 down for maintenance as markets ponder if flows will return this week
- UK awash with gas as we export to Europe with it’s target to meet 80% storage capacity ahead of winter in peril
- EDF expected to return to 100% state ownership as France makes the first move of European nations to do so
- The most difficult winter since deregulation ahead as we consume more gas and even coal in summer to underpin power generation
- Oil still rangebound in price moves with the real challenge being in refining enough product
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about UK energy prices, as the market talks of worst-case scenarios and hope looks for a mild winter ahead.
Topics explored include:
- Oil remains stuck and while higher prices today aren’t exceptional, the backdrop is one of outlook vs near term supply. Product prices become a hot topic
- Gas prices surge ahead of Norwegian strikes that will impact UK supplies, with the Norwegian Government questioning such action during an energy crisis
- Concern of the impact of costs on manufacturing, in particular where there are continuous processes that can’t simply be turned off, or managed, to reduce impact
- Power simply reflects fuel input costs such as gas, carbon and coal, and there is no good news here
- UK still exporting significant volumes of power to France, a nation in crisis with its nuclear fleet
- The reality for UK energy users and suppliers is that due to the market structure we are less likely to feel the instant disruption that France and Germany face, but at what cost
In this week’s Resonance energy market podcast, Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the continued challenges of gas flows into European energy markets and where there is value to be secured.Topics discussed include:
- European LNG imports impacted and Nordstream flows have dropped
- If supplies don’t return following maintenance, we look at what it means for gas prices
- Gas demand moderation requested in Germany
- Oil prices are rangebound, driven by headlines and propped up by increasing demand from China
- Carbon is also rangebound following ETS reform approval, with upside movement expected due to coal demand this winter
- Spot prices for power remain high, while the curve shows significantly better value
- The winter ahead should not be your main concern
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about UK energy prices, as gas supply issues for the winter ahead are a cause for real concern.Topics explored include:
- Oil supply tightness remains with challenges due refining capacity becoming more prevalent
- Gas sanctions on Russia starting to impact supply of gas into Europe as dependence starts to show, with a very tight winter ahead expected and limited options to diversify
- Politicians simply not addressing inflation which is largely driven by energy matters
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the challenges of gas flows into European energy markets, while carbon pricing awaits decision on market reform.
NOTE: Since recording the podcast on 15.06.22 and prior to publishing today (16.06.22), the CAL-23 TTF contract posted a new historical high. Front year European power contracts increased but didn’t breach the April peak.
Topics explored include:
- Gas export issues from the US and Nordstream
- Gas in storage expected to reach 80% across Europe in Q3, despite challenges
- LNG cargoes offshore await a potential price war, with Europe more than ever exposed to spot market pricing
- Oil has become more volatile in recent weeks, responding to mixed signals
- Carbon is rangebound, waiting and watching the European Parliament’s decision on ETS reform
- While no French nuclear fleet outages occurred following the first heatwave this summer, low river levels are a seasonal concern
- Wind generation across Europe is low, while solar remains high
- We look to the winter ahead and what might happen to prices
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about UK energy prices, as gas dominates UK power generation and exports of LNG to Europe endure.
Topics explored include:
- Oil sees supply tightness which doesn’t bode well for winter
- UK LNG imports flow as we export gas unabated to Europe whilst our neighbours replenish storage
- Gas supports 65% of UK power generation and keeps prices high
- Carbons markets nervous as Fit for 55 is in front of the European Parliament
- No UK climate change policy shift expected following the outcome of the UK’s PM vote of no confidence
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the continued impact of the Russia-Ukraine conflict on European energy markets.
Topics explored include:
- Oil price surges (now hovering around $125/barrel), mainly driven by EU’s decision to ban Russian imports into Europe
- Gas prices remain fairly range bound but volatility expected on thin trading volume due to bank holidays, drop on Nordstream 1, and proposed cut off of Russian gas to Holland.
- Decoupling of UK and continental gas prices (UK storage stocks high)
- Western Europe’s transition from Russian gas will take years
- 11th July – volatility expected: uncertainty around whether Russian gas flow Ukraine or Poland during the maintenance
- Power – lower demand due to holiday demand coupled with high nuclear and wind generation, pushed German SPOT to lows not seen for many months.
- Nuclear generation outages in France driving power prices higher in the short term
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about UK gas and power prices, forecast demand for fuels, and other global impacts on our local energy market commodity costs and security of supply.
Topics explored include:
- UK gas commodity prices move to levels not seen since before the invasion of Ukraine
- Global fuel demand set to rise as China comes out of hibernation and the US driving season begins
- The UK also continues power exports to France as its nuclear fleet remains a challenge
- Solar is delivering significant volume and while the highs of recent wind power generation return to normal, it continues to deliver expected volume at present
- Global leaders meeting in Davos highlights the many challenges faced, comprising of inflation, food poverty, climate change, and the energy crisis
- Meanwhile, the EU has signalled it will attempt to take the pressure off carbon prices, where politicians can alleviate pressure created by policy ahead of the coming winter
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the continued impact of gas prices on European energy markets.
In this week’s Resonance:
- Gas prices fall into double digit figures, but the pressure is still on the market due to demand on storage replenishment
- Volatility and increased risk highlighted by cut off of supplies of gas to Poland, however compromise over payment to Russia by major European states appears to have been reached
- Power generation sees French nuclear fleet being the major risk for the summer 22 period, and carbon prices are picking up again
- Increased fossil fuels like coal will support carbon prices while Europe seeks gas supplies to replace Russian gas in the short term
- A mixed approach to nuclear phase out in the face of the current situation sees some European nations consider postponing the phase out of existing plant while the region tackles the challenge of security of supply and cost of energy
- Measures European nations are taking to assist with higher costs and security of supply and what that means for decarbonisation and future costs
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about the glut of gas entering the UK market and its impact on near term prices, in contrast to the challenge winter poses.
In this week’s Resonance you will learn:
- A short-term respite for manufacturers on the right flexible contracts and strategy?
- While gas day ahead sees a collapse in prices, the truth is next that winter is set to be a challenge
- A similar spread is seen in UK power, with healthy exports to France which is facing significant challenges with its nuclear fleet
- Prices on the power curve also indicate concerns over capacity of UK power markets for next winter
- Carbon also shows a fair amount of swing, but remains a political market and toy for investors – Europe as a continent is currently using more fossil fuel and will do as alternatives to Russian gas are sourced which means more carbon price support due to this unexpected demand
- Having talked about inflation coming a year ago, we see today that reality coming through and the challenge it is presenting for businesses, consumers and short-term commodity costs
- Europe stockpiles Russian coal ahead of an expected winter ban, with questions raised over the ethics from a political as well as environmental perspective
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about the UK energy markets and what lies ahead for summer months.
In this week’s Resonance you will learn:
- Oil seesaws in the wake of supply and demand side concerns
- Why we have seen lower wholesale prices in the near-term markets
- Volatility remains a prominent feature in an illiquid market
- What restocking of gas storage means for the summer months, ahead of next winter
- Security of supply remains the priority, as geopolitical challenges endure
- Why current circumstances strengthen the case for decarbonisation of our energy system
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about UK energy markets and the impact of removing Russia from the energy mix.
In this week’s Resonance you will learn about:
- High energy prices cause a recessionary outlook
- Volatility remains a feature as geopolitics attempts to restructure markets
- Why removing Russian oil and gas from European supplies impacts UK prices
- Why challenges faced by the French nuclear fleet impact UK power supply and prices
- Why a divergent market is at play as we look ahead to 2023
In this special edition Resonance energy market podcast episode Jeremy Nicholson talks to Alfa Energy’s Karin Corbani about the significant changes to taxes and other charges, introduced by a number of countries across Europe, to help mitigate the impact of rising energy costs in the region.
In this edition of the Resonance you will learn:
- Germany cancels EEG renewable energy levy
- Italy system charges nullification continues into Q2 of 2022
- The need to ensure savings are passed through by suppliers
- The importance of keeping up to speed with non-commodity costs with frequent changes to the cost benefits that can be achieved
- Why non-commodity costs and their optimisation have never been more important
Alfa Energy Group's Chairman, John Hall, discusses the escalating energy crisis against the backdrop of a climate crisis in our latest podcast with Corporate Affairs Officer, Jeremy Nicholson.
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr. Petra Puskarova about the impact of record carbon prices on European energy markets.
In this week’s Resonance you will learn about:
- While anticipated, the rise in carbon prices are a cause for concern across Europe.
- Driven up by high coal burn, we discuss when demand could abate and if there will be an intervention.
- The LNG picture outlook remains strong and storage similar to previous reports, although winter has not been challenging for demand. However, US voices are questioning overseas suppliers when domestic issues could be addressed.
- Challenges with the French nuclear fleet remains a significant issue for European power which could continue into 2023, while wind makes a welcome return to relieve generation issues.
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr. Petra Puskarova about European energy markets as geopolitical tensions see energy prices remain challenging.
In this week’s Resonance you will learn about:
- Gas – price increases due to political tension related to Ukraine.
- Europe remains an important customer for Russian gas for now, but plans afoot with Asia could see that position change.
- LNG – Supplies are good for now but it’s important to watch shoulder months because of demand from Asian markets.
- Less gas storage this winter, but demand is lower. Summer gas storage will also likely be as low as last year.
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Gas and Nuclear Taxonomy as Europe debates the status of sustainable low carbon transition fuels for power.
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France naturally backing nuclear, despite challenges with fleet of power
stations and the impact on prices. - Germans are looking to gas as a transition fuel to a lower carbon economy.
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Surprisingly Spain is opposed to gas despite generation still being at c40%
and dependence on LNG increased after Algerian pipeline via Morocco went off. -
Carbon – The pressure is still on as coal remains popular. The risk remains on the upside to push European power prices to new highs.
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about the UK energy markets, as a large volume of LNG delivers to balance demand and supply, but at what cost.
In this week’s Resonance you will learn about:
- Hedge fund and speculative activity picks up in oil
- Supply and demand for gas and power in the UK as winter takes hold and what it means
- Interconnector capacity limits impact the import of power, exacerbated by issues with French nuclear production
- Big demands on fossil fuels expected as short-term issues with transitioning to lower carbon generation are brought to bear
- What this all means for energy pricing, inflation and interest rates as investors seek a safe haven
In this special edition Resonance podcast, energy veterans, John Hall and Jeremy Nicholson, reflect on what has been an extraordinarily turbulent year for energy, whilst also considering the future taking into account the global pandemic, Brexit and worldwide Net Zero ambitions.
This podcast was recorded in December 2021.
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Dr. Petra Puskarova about European energy markets, as prices remain and are forecast to remain high across Europe for now.
In this week’s Resonance you will learn about:
- LNG into Europe helps to stabilise gas prices
- The odd but interesting outlook for gas prices across the remaining quarters of 2022
- The astonishing peaks in power prices seen in France as levels begin to normalise
- Germany’s continued phasing out of nuclear power questioned amid a supply crunch
- The significant carbon sell-off
- When we might see deliveries through NordStream 2 and political battles persist
In this week’s Resonance energy market podcast, Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the energy price complex across Europe and what this could mean for prices as we head towards 2022.
In this week’s Resonance you will learn:
- Challenges of Russian flows and NordStream 2 realisation, despite higher volumes through routes such as Ukraine.
- Energy intensive users respond by shutting production due to high prices.
- Uncertainty over supplies is creating real challenges for energy buyers where already high prices and volatility have seen prices escalate further due to cold snaps.
- Oil prices plunge as the threat of a new Covid variant is confronted.
- Carbon hits new record highs and enters a new trading range.
- Considering all the above we look at similarly volatile power prices and ahead to what prices may reach in Q1 2022.
In this week’s Resonance energy market podcast Jeremy Nicholson talks to Alfa’s Jason Durden about UK energy markets and the outlook for gas supply security this winter.
In this week’s Resonance you will learn:
- Oil causes political pain and the potentially counterproductive responses attempting to reduce pressure.
- The risks to supply this winter for gas as we deliberate whether the margins are manageable.
- Is LNG simply arriving because the price is high or are shipping challenges playing a factor?
- Are we preparing adequately for a no show by NordStream 2 gas this winter?
- European regulator defaults on fixing the EU ETS and remains a money making playground that is not fit for purpose. Is this an end to sensible pricing of carbon and a proper mechanism to fund renewable energy growth?
- The outlook for the UK and across Europe as central banks continue to prop-up economies in the hope of a sharp recovery.
The COP26 summit held in Glasgow made important progress in a number of areas — but was it enough?
The world still remains off track to keep 1.5 degrees alive, but the progress made over the last year, and at the summit, offered bright spots and a strong foundation to build upon. This progress also demonstrates that the Paris Agreement mechanisms in place are working, albeit imperfectly and not yet at the required pace.
Samuel Clements, discusses this, and more, with our Corporate Affairs Officer, Jeremy Nicholson in the latest #Resonance podcast.
In this week’s Resonance energy market podcast, Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about European energy markets and the news of uncertainty around NordStream 2 deliveries causing the jump in energy prices.
In this week’s Resonance you will learn:
- NordStream2 issues cause a spike in gas prices – what has happened and what is the likelihood of a resolve to meet scheduled delivery
- While LNG looks favourable for Europe in the short-term, as does weather, we consider what is ahead for the second half of winter
- The jump in gas prices sees coal still firmly on the agenda
- Factors causing the new historical highs in carbon price
- The view on prices due the NordStream 2 delays
- We look at where the good news might come from to trigger price corrections
Samuel Clements, Sustainability Specialist at Alfa Energy Group, talks decarbonisation within construction with Anna Baker, Head of Sustainability at Carey Group.
Topics explored:
- The main driving force behind Carey Group’s sustainability agenda
- The practical steps taken towards decarbonisation
- The challenges faced along the way
- How Alfa Energy Group has supported the transition
- Advice to companies yet to begin their net zero journeys
In this week’s UK energy market podcast Jeremy Nicholson discusses the improved resilience in power generation and gas supplies with Jason Durden, Head of Energy Markets and Risk Management.
In this week’s Resonance you will learn:
- Power generation see resilience returning to the market, even with wind dropping
- Government makes important announcement on investment into small modular reactor market
- Convergence with EU market as the fledging UK carbon market evolves
- Gas and LNG comfortable for now, while demand is slightly above average and Russian gas remains absent despite promised flows
- Coal sees significant falls, while gas and power prices remain distorted this winter as we consider another break lower
- Russian gas holds back while COP26 is the talk of the town
Samuel Clements, Sustainability Specialist at Alfa Energy Group, talks sustainability with Andy Pratt, Head of Group (South) at Field Studies Council, discussing the environmental educational charity’s approach to decarbonisation, the importance of technical expertise and sustainability data, the importance of avoiding greenwash, and with COP26 upon us, the need to harness the opportunity it presents through heighted awareness of climate change and its impact on the environment.
In this week’s European energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the price volatility in European energy markets and the potential impact of COP26, taking place in Glasgow this week and next.
In this week’s Resonance you will learn:
- Potential for oil prices to go higher and why coal has dipped so much
- Russian flows of gas remain topical with volatility in prices due to flows into different European markets and relative impacts on markets
- Spain’s 25 year transit agreement from Algeria comes to an end and could cause bullish impact as supplies drop to zero
- With current challenges there are calls abound for longer-term gas transit contracts to provide stability in prices and security of supplies also
- Looking at demand for winter we see temperatures remaining below seasonal norms in the short-term and we look at the forecast for the rest of November
- We look at whether COP26 will impact carbon markets
In this week’s UK energy market podcast, Jeremy Nicholson discusses the improvement in supplies from wind and LNG and what to watch out for as we head towards November with Jason Durden, Head of Energy Markets and Risk Management.
In this week’s Resonance you will learn:
- LNG deliveries are up, a significant recovery from where we were, and weather is above seasonal norms, but November is the big test
- Power price make-up is much more multifaceted, but wind is the big player in the UK
- Oil has greater flexibility, but we wait on the November announcements from OPEC+ (as the controlling influence), to see where prices go from here
- As the UK and EU prices for carbon converge, we look at the factors behind it
In this week’s European energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the extraordinary developments across the continent.
In this week’s Resonance you will learn:
- With NordStream2 seemingly ready to deliver, what are we waiting for?
- Russia underlines need for Europe to ask for extra capacity for gas if needed.
- Are longer term contracts needed to provide Europe with security of supply?
- With Spain as one of the largest LNG importers the country faces an additional challenge from North African gas supplies.
- Are member states taking steps to help business energy users with costs?
- What might this mean for Fit for 55, particularly as we approach COP26?
- Why are carbon prices dropping?
- Suppliers continue to leave the market across Europe, but what does this mean for consumers?
In this week’s UK energy market podcast Jeremy Nicholson discusses the government’s planned action to support energy users in the UK with Jason Durden, Head of Energy Markets and Risk Management.
In this week’s Resonance you will learn:
- The government package. Is it what energy users want? Who will benefit, and who won’t?
- What the market looks like in these unprecedented times
- Is there a change in sentiment with warm words from Russia on gas for winter?
- The challenge for businesses as unsustainable prices and volatility remains
- Has carbon cooled?
- Has oil run out of steam?
- What’s the difference between supply and demand issues for oil and gas?
In this week’s UK energy market podcast Jeremy Nicholson asks Jason Durden, Head of Energy Markets and Risk Management, is there any good news on gas?
In this week’s Resonance you will learn:
- With 3 year highs on oil, will the whole energy complex result in recessionary impact?
- The carbon spread between the UK and EU explained
- Power prices impacted by all factors of generation cost, exacerbated by an under-performing nuclear fleet
- Is there any good news on gas?
- The pressure on government to act - will they and should they?
- The impact on industry for the winter ahead – what reaction is possible due to extraordinary price levels?
In this week’s European energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the continuing issues with gas and power prices and the demand destruction resulting in some quarters.
In this week’s Resonance you will learn:
- Will NordStream 2 (NS2) come to the rescue this winter, and will Norway offer further relief to high prices
- Demand destruction rears it head as companies determine that current conditions are inoperable
- Gas storage levels and the challenges for winter ahead
- The risk if NS2 is not commissioned
- While Europe sustains high energy costs, Asia remains higher still
- Power propped up by gas and coal
- European energy security back on the agenda
- The current situation impacting energy suppliers
- Carbon is not the headline; some sell off possible if industrial activity gets impacted by high gas prices.
In this week’s UK energy market podcast we talk to Alfa’s Jason Durden about record energy prices, why increases are unrelenting and which industries are most challenged.
In this week’s Resonance you will learn:
- Structural tensions in the balancing process leading to high and difficult prices
- Why the market is working, but its design might be enabling participants to maximise advantage
- Why there are four to five fold increases in UK power prices compared to competing European nations
- Which industries are likely to be unduly impacted by the current challenges
- Potential consequences to UK PLC if action is not taken
- The impact on suppliers
In this week’s European energy market podcast Jeremy Nicholson talks to Alfa’s Dr Petra Puskarova about the trilemma impacting gas prices which in turn sustains power prices for European energy buyers. Do we see a future where the gas flows more freely and the energy is taken out of carbon pricing?
In this week’s Resonance you will learn:
- Gas prices remain high due to subdued LNG delivery and lower storage capacity
- We repeat, NordStream 2 is not off the starting blocks - we look at what needs to happen in order to see the gas flowing and pressure on prices relieved
- Carbon breaches new levels, but will the upward trend run out of energy?
- The impact of electricity prices from gas and carbon combined
- The scenarios European energy buyers need to consider
In this week’s UK energy market podcast we talk to Alfa’s Jason Durden about gas prices remaining high, supporting power prices and Europe’s reliance on coal and the asset bubble propping up commodity costs.
In this week’s Resonance you will learn:
- Why it’s more than supply chains and opportunism driving sustained energy commodity price rises
- Does loose monetary and fiscal policy mean more of the same for energy buyers?
- Oil turbulence causes a storm, but has it run out of steam?
- How the politics of NS2 is supporting high prices in gas for now
- Why coal fired electricity generation remains a critical source of power and a sign of the times as we head towards the COP26 summit.
In this week’s UK European energy market podcast we talk to Alfa’s Dr Petra Puskarova about volatility in energy prices while gas prices remain high.
In this week’s Resonance you will learn:
- A correction in oil prices, when and on what basis that might happen
- Why high gas prices in Asia impact Europe
- When to expect the first gas flows from NS2 and how recent news, although incorrect, impacted prices
- What the combination of gas, carbon and coal market dynamics are doing to power prices. What the main drivers are and how future developments could impact power
- Is holiday season peaking adding some premium outside of main hubs?
- With lower cooling demand and for example a lack of challenges to the French nuclear fleet this year with more moderate temperatures compared to 2020, why is there a premium in the market right now?
In this week’s UK energy market podcast Alfa’s Jason Durden talks about the pressures and fears which are easing for oil but are keeping gas, coal and electricity prices high - at least for now.
In this week Resonance you will learn:
- Why are gas prices so high when supplies are healthy and expected to be plentiful next winter?
- Why haven't electricity prices fallen following the recent prick up in wind generation?
- And how should energy buyers expect the situation to change as we go into winter?
In the week when the UK Government reveals its hydrogen strategy, we ponder the long-term implications for gas users and whether a hard-nosed look at climate policy costs may be required to make 'Net Zero' ambitions more realistic and affordable.
The holiday season is far from a holiday in energy commodity markets as we look at the challenging energy price landscape for European buyers with our experts Dr Petra Puskarova and Jeremy Nicholson.
In the Resonance this week you will learn:
- Limited carbon auctions and their impact on prices – will there be some relief?
- The relationship between carbon, gas and power markets, as gas starts to drive generation
- LNG deliveries remain challenging, while gas storage remains low. We look at why that is and what it means for energy buyers, given the new market drivers
- Will NordStream 2 have a positive impact and when?
- Oil, perhaps the only commodity behaving normally, shows signs of weakness - We explain why and what it might mean for LNG prices, a significant driver of prices in the energy complex
- European power prices remain high as wind generation remains subdued and a combination of gas and carbon pricing supports bullish sentiment
With commodity costs rising sharply for European energy buyers and non-commodity costs also increasing, there has never been a more important period to look at how non-commodity costs across a business’s sites in European countries can be reviewed, reduced or removed.
It is also imperative to make sure your business is checking to ensure cost reduction measures are passed on by suppliers and that a procedure for budget forecasting and management of energy is in place.
In this quarters European Non-Commodity Cost podcast episode, Jeremy Nicholson talks to Karin Corbani Lead Analyst Non-Commodity Europe about the challenges businesses are currently facing and what can be done.
In this podcast episode you will learn:
- why managing non-commodity costs is more important with increasing commodity costs across Europe
- what temporary government schemes are in place and the need to act quickly
- what a business needs to do to ensure costs are passed through by suppliers and why
- what the implications of Fit for 55 are for energy buyers across Europe
In this episode of the Resonance podcast, you will learn:
- Why are gas prices so high, considering there is no supply crisis?
- What this mean for energy buyers not currently hedged or coming out of long term contracts?
- As we conveniently miss the trigger price for the UK carbon emissions scheme, combined with higher gas prices and continuing lower wind generation, where are power prices?
- A moral panic? With commodities inflation presenting a huge problem for businesses, is it a short term issue, or the current transitory normal to a lower carbon economy?
In the Resonance this week you will learn:
- Gas storage – Following maintenance, we look at the differences between levels in EU countries and if capacities are a bullish or bearish indicator?
- Renewables – while low wind output is offset by solar to an extent, are floods in the EU impacting supply? We look at the risks to and impact on renewables for security of supplies when there are weather disturbances – such as photovoltaic panels covered by snow, and the effect of fires in California
- Coal – if wind doesn’t blow, coal goes online! Current coal demand, storage, supported prices and phase out in Europe. Russian supply came back following interruption. Chinese demand and high gas prices are pushing coal process high.
A special addition of The Resonance: Have you shielded your business from the 5-fold increase in energy costs and ESG compliance?Have you insulated your business from the 5-fold rise in electricity costs and prepared for ESG disclosures?
For more information on how your business is and will be affected and what to do about it, listen to our latest podcast episode.
Gas supply challenges look more settled as we approach August, but the challenges faced by renewable power generation and the need to offset fluctuations with on-demand supplies put an upward pressure on electricity supply costs.
In this episode of the Resonance podcast, you will learn:
- NS2 expected into Europe early in 2022. Why access to gas in Europe for the U.K. matters
- Gas - A return to steady LNG supplies more likely in August, and some key maintenance for gas infrastructure coming to an end means we expect to see an improvement in supply
- Sustained period of oil bullishness coming to an end? OPEC signals increased production, compounded by market caution over economies attempting to reopen, as the UK’s Freedom Day signals an end to lockdown.
- While the Impact of decarbonisation sees the U.K. carbon market quite settled, and the Cost Containment Mechanism (CCM) within the scheme may be triggered in August for the first time. What is it, how and will it control costs?
- Fluctuations in wind power generation are still having an acute impact on power prices. What does that mean for prices and generation mix? Can we achieve what we need to without seeing the rolling blackouts familiar to businesses operating in California, where decarbonisation without a managed approach is causing challenges?
- A greater dependence on imports are proving problematic for the U.K. and power prices now we are outside of the EU, but why?
In this week’s European energy market podcast we talk to Alfa’s Dr Puskarova about renewable energy cost increases, a single European market for energy, and why prices will remain high for the time being. Also discussed - A big announcement coming on Hydrogen, seen as the answer to the supply gap challenges facing industry with the ever diminishing use of, but reliable, fossil fuel energy generation.
In this week's Resonance you will learn:
- Hydrogen is coming, but why is it so important for industrial scale production to happen?
- A single energy market for Europe in the making – what shape might it take and what will it mean for business energy consumer prices
- Guarantees of origin and the Energy Attribute Certificates for renewable energy supplies are soaring. What is the impact for buyers across Europe?
- Optimism on where future energy prices may be, but does that mean high prices will remain for some time?
As prices make a significant hike, Jason Durden Head of Energy Markets and Risk Management at Alfa explains why and what to expect, particularly since supplies are seemingly comfortable.
In this episode of the Resonance podcast, you will learn:
- Higher prices for gas don’t correlate with supply and demand – why is that?
- Why supply issues for the continent of Europe and political machinations from Russia are impacting UK prices
- EU ETS ticks up and the UK carbon prices remain slightly lower
- Why despite this, record electricity commodity prices being reached as we head towards the winter season of 2021
- Why the cost of balancing renewable generation is creating a market that is contrary to the intended direction of the UK power generation mix
- What this all means for UK business energy buyers
In this week Resonance you will learn:
- Interconnectors and cross border flows providing flexibility and security of supply to balance the delivery fluctuations caused by greater reliance on wind and solar
- Norway becoming major exporter of green electricity especially into Germany
- LNG projects in Russia and growing dominance
- German major phase out of coal and nuclear, and transmission issues
- Nuclear projects – what is the plan to provide baseload energy for Europe?
- What does this all mean for European energy buyers as markets begin to converge?
In this episode of the Resonance podcast, you will learn:
- As oil hits $75 a barrel and there are calls forecasting $100, will OPEC get involved to stop investment firms controlling the market?
- Wind generation with no wind continues to challenge markets such as Germany which indirectly impacts UK energy prices – forecasts show 50% of expected generation being delivered
- Elsewhere gas in the UK dominated by maintenance, unfortunately unplanned or extended, and impacted by demand for power supply in Germany, where we are seeing prices at a level last seen before 2008 financial crisis
- LNG supply reliance is not helping shortage of supply either, with Asia prices drawing supplies away from UK and Europe. Will the medium term view see good news for energy buyers?
- Does 3rd auction of the UK Carbon Market show the governments position, as it trades at a discount to the EU ETS? Is this a positive signal for UK energy buyers?
Are you able to respond to new supply chain pressure on environmental and emissions standards?
The impact of supply chains on large corporates Environment, Social and Governance (ESG) reporting and ability to meet net zero targets is huge and growing by the day.
In our latest podcast we look at what that means for these large organisations, but also critically for businesses in their supply chain. Of course, we are all of intrinsically involved in one or more supply chain.
After an update on the continued strength of carbon on the newly launched UK market and the impact of the Spring Bank Holiday season, the Alfa Energy Resonance Podcast asks:
- Oil breaches $70 per barrel as demand recovery continues - $80 expected by year end with bullish sentiment prevailing
- Asian and Chinese stockpiling dry fuels confirms
- EU carbon prices impact by UK market introduction – what does it mean for energy buyers with European operations – How has Germany responded
- Prices are heavily supported, but there is some potential for short-term downside as wind picks up. Will a heatwave impact this though, with demand for cooling anticipated?
- What are the prospects for prices in the year ahead?
In this episode of the Resonance podcast, you will learn:
- Fragile supply and cooling load concerns sees a significant jump in prices.
- UK reliance of LNG for gas sees Asian demand create a floor price – can we rely on seasonal falls in demand at home to impact prices?
- NordStream2 reaches a new milestone for delivery and BritNed is back online at last – does this offer any price surety?
- With the new UK carbon market having settled down, what’s the premium compared to the EU ETS and how does it impact competitiveness of UK business operations?
- Will the G7 meeting in Cornwall this week have a bearing on carbon pricing in energy costs? Is speculation damaging the positive impact carbon markets are intended to create?
After an update on the continued strength of carbon on the newly launched UK market and the impact of the Spring Bank Holiday season, the Alfa Energy Resonance Podcast asks:
- what effect is rising solar generation having on European power markets after months of low wind generation?
- allowing for carbon adjustment, what’s the underlying situation for power prices in Germany when coal and lignite are the marginal plant on the system?
- how is supply and demand balancing for gas in Europe given Gazprom’s decision not to book extra capacity for transit via Ukraine?
- what are the prospects for completion of Nord Stream 2?
- how are prices and stocks faring in the international oil market as OPEC commits to increased output?
In this episode of the Resonance podcast, you will learn:
- The early days of the UK Emissions Trading System are volatile, but longer term will the market present a more pragmatic solution for UK energy buyers than its EU counterpart?
- Big swings in the gas market, but is the outlook set to improve?
- What’s happened to the balancing market? This is the big story in power pricing, forcing higher prices in the short term periods and seasons.
In this episode of the Resonance podcast, you will learn:
- France signals Arenh mechanism is coming to an end as France heads towards full market exposure…
- Will seasonal French nuclear capacity issues rear their head and what might that mean for prices?
- What does demand look like across Europe compared to 2020, what does it mean from a recovery perspective and what does that mean considering supply capacity issues as fossil fuel and nuclear generation being phased out?
- Gas looks promising in terms of extra pipeline capacity - how might this impact prices, will it offset the need to replenish storage and the short term tightness in LNG supplies?
In this episode of the Resonance podcast, you will learn:
- Carbon settles above 50 euros in the EU ETS Scheme. The European Commissioner says no plans to intervene and state prices should be even higher…
- The UK scheme suggests there is a cost containment mechanism to ensure carbon prices do not make UK PLC anti-competitive. More clarity is needed…
- Power prices have been forced up through fuel input costs, carbon price doubling and elevated balancing prices.
- What does that mean for prices and any decisions on buying that need to be made?
- Interconnector issues causing problems with power supply and demand from the continent
- Gas prices also remain high, impacted by NordStream 2 and the geopolitical situation surrounding it, and LNG pricing up with China drawing cargoes away from Europe and the UK.
For European Energy Commodity Markets and the impact on business end user energy prices, carbon markets are lively! Is it a bullish market, carbon surrender compliance, or a combination of these factors?
Extreme volatility, carbon continuing to push boundaries, currency devaluation, inflation, and high balancing prices continue to pressure end user gas and power prices.
Global oil production is set to increase, and LNG is making strides thanks to a new terminal in Croatia, but will pricing and demand level off? If the cold temperatures continue, that may not be the case, and policymakers need to take heed.
- A challenging start of the summer season for gas – spot prices higher than February
- Gas runs 60% of power production, so what’s the impact considering negligible amount of wind
- Are NCC costs not being harmonised correctly with commodity costs and impacting an increase in both?
- Competing Auction Platforms in the UK sees £2000 an hour for balancing costs – Is this in any way acceptable?
- Carbon markets remain dysfunctional due to an imbalance between actual participants and speculators
With our first in the series of quarterly European Non-Commodity Cost podcast episodes with Karin Corbani, Lead Analyst Non-Commodity Europe, Jeremy Nicholson, Corporate Affairs Officer, finds out why energy costs are increasing, even when your business has an effective procurement strategy in place, and importantly, how you can look to manage and mitigate this increasing and significant proportion of your energy bill.
Our latest European market podcast on electricity and gas commodity prices sees gas demand and supply major in that commodity, and carbon remains an issue for power.
This week, Jeremy and Jason discuss LNG becoming the cornerstone of UK and European gas prices, while liquidity in GB power seems abandoned by the regulator.
- Oil production and consumption forecast – mixed signals following excessive bullishness as demand concerns continue to bite
- Coal – artificial tightness supporting European electricity prices?
- French nuclear – power at multi-year highs
- LNG fairly neutral - increased demand in SE Asia into April, interruptions in Australia and Russia
In this episode:
- Why carbon is so entertaining – have regulators and politicians allowed it to become an asset bubble?
- The speed of markets questioned regarding suitability to manage capital intensive industries Significant increase of prices, and we are nearing the second biggest traditional contract expiry period of the year
- As non-commodity costs start to seriously override the percentage of commodity costs in the make-up of an energy contract, it doesn’t reduce commodity costs or their value
Extensive development of renewables across Europe bring a wind of change for energy generation sources and prices.
In this episode:
- Update on the development on the Nord Stream 2 pipeline
- How demand for gas will change in the transition to a lower carbon economy across Europe
- The plan for renewables and its impact
- The likely impact on power prices in Poland
- What the anticipated heatwave means for summer prices
- Cross border activity, it’s impact on prices and does it mean convergence?
- High volatility in markets and signs of recovery with indicators such as oil, but is there value in markets if you know where to look?
This week, Jason and Jeremy discuss the changeable weather, which has been seeing volatile energy price movements as we exit the winter period.
The European Energy and Sustainability Services podcast series, which launches with this episode, covers commodity markets important to our clients managing facilities and contracts across Europe.
Carbon has leapt to new highs, but what has caused this and how will prices be contained? Jeremy and Jason discuss carbon’s moves in this episode of The Resonance.
In this episode of the Resonance podcast, Jeremy and Jason discuss the return to normal seasonal energy prices and the challenge presented by carbon where two worlds are colliding that don’t mix well.
In this episode of the Resonance podcast, Jeremy and Jason discuss what effects 2020 has had on overall perspectives on energy prices and whether we’ll be seeing a return to normal levels in the markets.
With a new year come new challenges, particularly on immediate energy prices. Jeremy and Jason return for the first episode of 2021 to discuss what has been happening in the energy markets in the past few weeks.
In this episode, we wrap up 2020 in energy markets and look ahead to 2021 as Jeremy is joined again by Jason alongside special guest John Hall, Alfa Energy Group Chairman.
The market has responded to a lack of renewable wind generation across the region, and Brexit concerns expose a short-term risk. What do these issues mean for energy buyers? Jason and Jeremy discuss.
With a raft of geopolitical events happening at the same time, what can we expect to happen in the markets? Jeremy and Jason discuss.
This week, Jeremy is joined by Jason Durden and Wayne Bryan, Director of European Gas Research at Refinitiv, for a discussion on what the upcoming winter holds.
With the US election, upcoming winter, and rising COVID cases, what can we expect?
Jason Durden is here again for his fortnightly look at the energy markets.
Jason Durden joins Jeremy Nicholson again to discuss disruptive gas prices. Is this the last hurrah, or will we have a tighter winter for energy?
With more the 12,000 companies now being required to disclose their energy and emissions use in annual reports, we look at the importance of good quality data management as your business is exposed to greater external scrutiny and the potential impact on your business’s reputational risk.
As we enter the new gas year and the position is set out for the coming winter, what is concerning markets and therefore should be of concern to energy buyers? Jason Durden joins Jeremy Nicholson to discuss.
Prices remain high while market fundamentals suggest they should be otherwise. Why is that and what is keeping some energy prices inflated? Jason Durden joins Jeremy Nicholson to discuss:
· The impact of maintenance
· Why carbon has hit new highs
· What the new 2030 EU reduction in emissions target means for EU ETS certificates and commodity markets
· In gas, while current prices are attracting LNG, what will the picture be once they arrive
· Nordstream2 – what does the controversial project mean for European gas
· Oil – a lack of appetite?
· Has demand recovered from lock-down?
· What happens to markets and the global economy, if and when the Fed takes it’s foot off the gas
- What is supporting gas and power prices
- What will happen when certificates are cashed in?
- What questions need to be asked in relation to the damage vs value of carbon trading?
- French nuclear outages – when will the fleet return?
- Are buyers late to the party to secure deals?
- US and Russian activity and what this means for UK prices and volatility
- The impact of demand destruction and volatility caused by an increased share of intermittent renewables
Jason Durden is back to discuss the commodity markets, which are still very much hectic but settling down after the European heatwave.
Climate Change Agreements (CCAs) are the topic of discussion of this episode of the Resonance podcast as Nick Fedson, Sustainability Analyst, joins Jeremy Nicholson to talk about the scheme, savings, and timeframes, as well as the relevance to net zero.
Simon James, Managing Director at Energy Comms Ltd, joins Jeremy Nicholson in this week’s episode of The Resonance for a discussion on energy and sustainability and what the UK government is doing about them at the moment. Have they been put on the back burner or are things moving along?
Jason Durden and Jeremy Nicholson sit down for another recap on the markets, particularly what’s been happening in the gas markets as of late.
Jason Durden talks to Jeremy Nicholson this week about the continuing rise of carbon, what effects it still holds for the markets, and what the next few weeks and the winter season could look like in terms of supply.
Jason Durden joins Jeremy Nicholson again, this time for a discussion on carbon, which is causing challenges in power markets and pricing. What are they and what impact do UK and international energy demand hold?
Jeremy Nicholson, Corporate Affairs Officer, discusses some of the factors in the 2020 CCC progress report and what they mean for energy and sustainability professionals with Nikki Wilson, Carbon Compliance Manager at Alfa Energy Group.
Jason Durden is back again this week on The Resonance, joining Jeremy Nicholson to discuss the impact of carbon, gas, and renewables on prices in these challenging times.
This week on the Resonance podcast, Jeremy Nicholson is joined by Nick Fedson, Sustainability Analyst at Alfa Energy Group, for a discussion on the CCA scheme, which is due to be reopened for new applications and extended.
This week on the Resonance podcast, Jeremy Nicholson is joined by Jason Durden, Head of Energy Markets and Risk Management, for a look at what is driving prices, will it last, and what we see ahead.
Jeremy Nicholson sits down with Jason Durden, in this episode of The Resonance podcast for a chat about distressed prompt prices, what has caused them, what businesses might expect, and who might benefit.
As part of the Future Fit campaign, this week Jeremy Nicholson, Corporate Affairs Officer speaks with Clive Ferrey, Head of Industrial and Commercial Sales about how customers can better protect their position with energy contracts and costs.
Net zero emissions are the topic of discussion in this episode of The Resonance podcast as Nick Fedson, Sustainability Analyst at Alfa Energy Group, joins Jeremy Nicholson to discuss what will happen next, especially as emissions have plummeted in the first few months of 2020.
Alfa Energy Group Chairman, John Hall, and Director of European Gas Research at Refinitiv, Wayne Bryan, join Jeremy Nicholson in this episode of The Resonance podcast for a discussion on the unprecedented events that have been going on in the oil and gas markets, particularly in the face of COVID19 and potential economic crisis.
In this episode of The Resonance podcast Sustainability Analyst Nick Fedson joins Jeremy Nicholson to discuss SECR. SECR requires qualifying companies to report on their energy and carbon use in their annual accounts, bringing carbon footprinting into it.
Jeremy Nicholson and Nick Fedson discuss UK's 2020 budget, particularly as it relates to sustainability and the nation's net zero tragets and how they will be achieved.
In this episode of the Resonance podcast, Jeremy Nicholson sits down with Wayne Bryan and Nick Fedson to revisit what went on this year in the commodity and sustainability markets and what is to come in 2020. What’s happened to concerns at the beginning of the year and where are we now and going forward?
In this episode of the Resonance podcast, Jeremy Nicholson and John Hall, Chairman of Alfa Energy Group, talk about the oil market and what recent developments with OPEC might mean for energy users. The latest OPEC meeting took place last week, and one of the points of discussion was the upcoming glut of oil. The oil price is still low, so OPEC has made a decision to make further production cuts. John, a long-time attendee of OPEC meetings, shares his thoughts on what all this will mean for oil and energy markets.
In this episode of the Resonance podcast. Jeremy Nicholson speaks to Nick Fedson, Carbon Compliance Analyst, about net zero targets and science-based targets and what the differences are between them. Net zero targets can at times be science-based as well, so the two are not mutually exclusive. In order to utilise either, organisations must have a profound understanding of their corporate emissions. Once a business understands their emissions, they can set the right kinds of goals to reduce them.
Jeremy Nicholson and Wayne Bryan discuss where Europe's the UK's gas supplies will be coming from this winter and how much of it there will be.
The UK is currently part of the EU ETS while it is still in the EU. What will happen to emissions trading in the event of a no deal Brexit?
In this inaugural episode, Jeremy Nicholson, Corporate Affairs Officer, and Wayne Bryan, Senior European Energy & Commodity Analyst, will be discussing the upcoming winter and what energy users in the UK can expect.