Tuesday 27 September 2016

Brexit jitters affecting Irish energy prices

Published 25/07/2016 | 02:30

Wholesale gas prices are down 35pc on average in July 2016 compared with July 2015, according to Vayu Energy’s latest Wholesale Energy Market Report, with Brexit and a weaker pound having an impact on gas prices. Photo: PA
Wholesale gas prices are down 35pc on average in July 2016 compared with July 2015, according to Vayu Energy’s latest Wholesale Energy Market Report, with Brexit and a weaker pound having an impact on gas prices. Photo: PA

Wholesale gas prices are down 35pc on average in July 2016 compared with July 2015, according to Vayu Energy's latest Wholesale Energy Market Report, with Brexit and a weaker pound having an impact on gas prices.

  • Go To

There has been a 27pc decrease on Irish wholesale electricity prices in July compared to the same period last year, with wind energy accounting for almost a fifth of overall electricity generation so far in July.

Wholesale gas prices are down 7pc compared to last month, mainly due to the strength of the euro against sterling, according to Gillian Lawler, Senior Energy Analyst at Vayu.

"The market reaction to Brexit continued to be felt in early July on gas prices for delivery to year end, as the pound continued its poor performance against the euro," said Ms Lawler.

"Traders were anxious to mitigate currency risk amid the uncertainty surrounding the UK's vote to leave the EU".

Separately, Bord Na Mona has recorded a 6pc increase in its turnover, from €406.7m to €432.8m last year.

Chairman John Horgan, who launches its annual report today, said that 2015 had been "another year of solid achievement" for the 82-year-old company.

Mr Horgan said that the company has diversified significantly away from being an exclusively peat-based company, with sales of its Mountlucas and Bruckana wind farms increasing by €13.8m in the first full year of operations.

Waste treatment sales at the Drehid facility increased by some €9.3m.

The company saw reduced sales, by €4.7m, by its Edenderry Power Plant, which exited the Public Service Obligation (PSO) last December.

Irish Independent

Read More

Promoted articles

Editors Choice

Also in Business