Green Gas and PPA pricing moves up
Green Gas and PPA pricing moved up again yesterday but has since dropped back from the highs in volatile trading.
- Market timing now is more important than ever for those generators looking at forward hedges.
- Summer 2025 gas over 100p pence per therm has been considered a compelling trade for green gas generators.
*Summer 2026 is trading around 80p.
- PPA has moved towards the somewhat arbitrary £100 MWh target for renewable power generators.
- Both hedges look highly compelling on a relative value and historic basis for generators looking to capture current market strength and secure downside price protection.
- Market fundamentals continue to be driven by geopolitical supply risks on the gas side.
- Closer to home, there was an unplanned outage at the UK’s Bacton terminal, and we will shortly begin a planned five-week period of maintenance at the St Fergus terminal.
If you would like to discuss Green Gas or PPA fixing strategies, please call the desk or email Fran or me.
Thanks
Gareth Goodall
