* Baseload spot contract slumps a day after peakload drop
* Weaker wind, solar keeps weekend price high

The changing profile of the solar and wind power generation in the UK had a mixed effect on UK short-term power prices on Friday, while prices of the forward contracts were hit by the weaker pound and falling Qatari LNG supply fears, sources said.

At the 11:00 am London time market close, the baseload power for Monday delivery changed hands GBP2.75 lower on the day to GBP36/MWh in Friday's trading session, after posting small gains on Thursday.

The peakload day-ahead fell only 50 pence to GBP40/MWh in Friday trade, a day after shedding nearly GBP2 on Thursday, according to Platts pricing data.

Meanwhile, price of the weekend base contract, which is usually below the working day contracts due to weaker demand, was heard trading at GBP35.75/MWh, in line with the Monday power price on the back of falling solar generation.

Similarly, the UK spot auction saw the day-ahead Saturday clear at GBP38.34/MWh on Friday, above the OTC contracts and above Friday's settlement price of GBP37.77//MWh, according to N2EX and EPEX Spot exchanges data.

According to National Grid estimates, wind power generation is expected to peak at 6.8 GW on Saturday, and continue to rise to above 7 GW on Monday.

However, in contrast, solar power generation is set to decline to 4 GW on Saturday and edge up to 5 GW on Monday, the Grid data showed.

Power demand on Monday is expected to slip, reaching a maximum of 33 GW, compared with Thursday's demand outturn of 33.6 GW, the Grid data showed.

On the curve, the Winter 17 base contract, which closed Thursday 75 pence higher at GBP46.80/MWh, eased lower to GBP46.65/MWh in Friday's trading session.

The market experienced a "shock move" higher, a trader said, adding that "it has calmed down from yesterday also dampened by a weak pound."

Media reports Thursday that two LNG cargoes from Qatar to the UK were diverted away from the region sent prices higher across the board.

Meanwhile on the supply side in the UK, gas-fired power generation reached 12.5 GW, while coal output remained reduced at 261 MW.

Wind power production reached 3.2 GW, while nuclear supplies were stable at 8 GW, the Grid data showed at midday Friday.

 

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