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shh, your not meant to say these things out loud. "U.K.’s High Gas Prices to Hurt Consumers All Year, Industry Group Says Rachel Morison 20 January 2022 at 17:

shh, your not meant to say these things out loud. "U.K.’s High Gas Prices to Hurt Consumers All Year, Industry Group Says Rachel Morison 20 January 2022 at 17:43 UTC" https://www.bloomberg.com/news/articles/2022-01-20/u-k-s-high-gas-prices-to-hurt-consumers-all-year-industry-says https://www.bloomberg.com/news/articles/2022-01-20/u-k-s-hig... Gas prices now are around the same levels seen in Q3 2021. Russian invasion of the Ukraine took place on 24 February 2022

gambiting 4y ago
>>Gas prices now are around the same levels seen in Q3 2021. For whom? I'm on a flex tariff for gas, in Q3 2021 was paying about 3p/kWh, now I'm paying 10p/kWh, the price of gas has literally tripled for me and millions of people compared to the same time last year. So yeah, how are they at the same levels?
- iso1631 4y ago
  Sep 2021 Natural Gas Futures reached 300p/therm https://tradingeconomics.com/commodity/uk-natural-gas https://tradingeconomics.com/commodity/uk-natural-gas Which is the same as it was before the "mini budget"
  - simonh 4y ago
    I fail to see the relevance. Household gas prices had already tripled before the mini budget. Nobody’s household gas prices today reflect the price volatility in the last 10 days, the price changes have been in the works for months.
    - iso1631 4y ago
      Household gas prices are as high as they can make it partly because the government has given a blank cheque to the energy producers, partly because of the way the cap is calcuated (Feb23 delivery of gas was a far higher cost in August -- 880p per therm [1]) the cost of gas for delivery in the winter is high due to predicted demand outstripping predicted supply. Prices per therm in Feb are 480p [0], and while prices are dampened a little next summer, similar high costs are there the following year. This time last year though prices for Feb 23 delivery were down in the 120p/therm level. The cost peaked at 330 last December then backed off a little Cost for Feb 22 delivery this time last year was about 200p, and for Feb 21 delivery in Oct 20 was about 40p. Pre covid it was about 80p in Oct 2019 for delivery in Feb 2020 [2], so we're running at 5 times the cost of pre-covid despite the recent falls in price. Sensible countries have put in measures to reduce and move towards rationing gas usage (thus reducing costs), the UK has put in measures to encourage gas usage by subsidising consumption. [0] https://www.barchart.com/futures/quotes/NF*0/futures-prices https://www.barchart.com/futures/quotes/NF*0/futures-prices [1] https://www.barchart.com/futures/quotes/NFG23/overview https://www.barchart.com/futures/quotes/NFG23/overview [2] https://www.barchart.com/futures/quotes/NFG19/overview https://www.barchart.com/futures/quotes/NFG19/overview
- shapefrog 4y ago
  If they had been able to pass on the wholesale prices to consumers - you would have been paying 10p/kWh in Q4 2021 more than 3 months before the invasion of the Ukraine. Businesses have been paying wholesale prices, as the cap does not apply to them. The "cap" is a terrible system, which has only resulted in a very short lag to prices hitting the consumer - The energy price cap changes every six months, though this will change to every three months from October as requested by the energy companies, opposed by all consumers but the consumer lost on that one. In Q3 2021 you were paying about 3p/kWh on a wholesale price of 300, now you are paying 10p/kWh on a wholesale price of 400 - and your daily standing charge has increased just because they can get away with it.

gambiting 4y ago

>>Gas prices now are around the same levels seen in Q3 2021. For whom? I'm on a flex tariff for gas, in Q3 2021 was paying about 3p/kWh, now I'm paying 10p/kWh, the price of gas has literally tripled for me and millions of people compared to the same time last year. So yeah, how are they at the same levels?

iso1631 4y ago
Sep 2021 Natural Gas Futures reached 300p/therm https://tradingeconomics.com/commodity/uk-natural-gas https://tradingeconomics.com/commodity/uk-natural-gas Which is the same as it was before the "mini budget"
- simonh 4y ago
  I fail to see the relevance. Household gas prices had already tripled before the mini budget. Nobody’s household gas prices today reflect the price volatility in the last 10 days, the price changes have been in the works for months.
  - iso1631 4y ago
    Household gas prices are as high as they can make it partly because the government has given a blank cheque to the energy producers, partly because of the way the cap is calcuated (Feb23 delivery of gas was a far higher cost in August -- 880p per therm [1]) the cost of gas for delivery in the winter is high due to predicted demand outstripping predicted supply. Prices per therm in Feb are 480p [0], and while prices are dampened a little next summer, similar high costs are there the following year. This time last year though prices for Feb 23 delivery were down in the 120p/therm level. The cost peaked at 330 last December then backed off a little Cost for Feb 22 delivery this time last year was about 200p, and for Feb 21 delivery in Oct 20 was about 40p. Pre covid it was about 80p in Oct 2019 for delivery in Feb 2020 [2], so we're running at 5 times the cost of pre-covid despite the recent falls in price. Sensible countries have put in measures to reduce and move towards rationing gas usage (thus reducing costs), the UK has put in measures to encourage gas usage by subsidising consumption. [0] https://www.barchart.com/futures/quotes/NF*0/futures-prices https://www.barchart.com/futures/quotes/NF*0/futures-prices [1] https://www.barchart.com/futures/quotes/NFG23/overview https://www.barchart.com/futures/quotes/NFG23/overview [2] https://www.barchart.com/futures/quotes/NFG19/overview https://www.barchart.com/futures/quotes/NFG19/overview
shapefrog 4y ago
If they had been able to pass on the wholesale prices to consumers - you would have been paying 10p/kWh in Q4 2021 more than 3 months before the invasion of the Ukraine. Businesses have been paying wholesale prices, as the cap does not apply to them. The "cap" is a terrible system, which has only resulted in a very short lag to prices hitting the consumer - The energy price cap changes every six months, though this will change to every three months from October as requested by the energy companies, opposed by all consumers but the consumer lost on that one. In Q3 2021 you were paying about 3p/kWh on a wholesale price of 300, now you are paying 10p/kWh on a wholesale price of 400 - and your daily standing charge has increased just because they can get away with it.