
Natural Gas Analyst at EP Commodities | Previously @ICIS_energy | Views are my own, you can't have them
London, UK
Joined June 2009
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???
There is no such thing as a "global gas market".
That is why Americans pay a fraction for natural gas, compared with us.
Historically natural gas prices in Europe/UK were cheap. We produced lots of it. But then governments, including the UK, decided that gas is bad. They decreased domestic production, prohibited or restricted new exploration and development, taxed it punitively, and yet increased dependence on gas (renewable energy mandates, and abolishing coal and nuclear) and on imports. Fracking was banned. They also created reliance on spot markets, rather than on supply contracts.
Prices went up because of scarcity driven by policy.
Since the 2000 Utilities Act and Renewables Obligation, followed by the CfD subsidy regime, renewable generators have been given prices that guaranteed their profits by either adding to the price of electricity (RO) or with a fixed price (CfD). Both of these subsidy regimes mean that power from renewable sources cost more than the average price of gas, despite the rising cost of gas. And that problem is multiplied by the policies that increase the scarcity of gas.
The volatility of energy markets is nothing compared to the variability of weather. Weather-dependent renewable power will therefore not reduce the volatility of energy markets. They will make it worse.
Ed Miliband does not understand the energy market. He is lying about what causes high prices. He is lying about the ability of his policies to bring down energy prices.
Germany flexing about energy policy is like the UK boasting about the affordability of its housing.
Like it or not: Germany’s energy system is fully operational, with more than 50% renewables. And we are shutting down – not building – coal & nuclear plants. Coal will be off the grid by 2038 at the latest. PS: We also don’t eat cats and dogs. #Debate2024
Bu..bu...but a French academic said gas prices would rise today!
"they didnt pump anything when market was at 300 but they turned on the pilot light for a few days when it was at 30"
Thank god the L on the QWERTY keyboard is far away from the D
Let's make sure we don't say LNG anymore. It is LTF.
"Liquefied Transitional Fuel"
cc: @SStapczynski
If someone wants to create an automated account that reposts this anytime there's a Troll REMIT - you have my unequivocal support.























