Gas prices at the UK's National Balancing Point (NBP) hub in May 2016 fell 32% from the same month of the previous year, according to data from system operator National Grid. The system average price for May 2016 recorded by operator National Grid was 30.21 pence/therm ($4.35/mn Btu), falling by 32% from 44.23 p/th the previous May. The system average price is a reference price for daily gas used in industry settlement procedures.

 

 

There was little change from month to month. May 2016's gas price was up 2% from the 29.49 p/th average price recorded for April 2016. Gas prices have trended lower along with a general fall in the commodity price environment on the back of lower demand and a global glut of LNG.

 

UK national transmission system gas demand averaged 205mn m³/day in May 2016. This was up 3% from the 200mn m³/day recorded for the same month the year before. It was lower on the month, dropping back 19% from the 255mn m³/day seen in April 2016 on warmer weather.