British Industrial Competitiveness Scheme Energy Cost Relief

How Full the Tank Is Matters – UK’s dwindling gas storage still a concern

A clear explanation of how the scheme reduces electricity network and policy costs for eligible energy-intensive UK businesses

20+ Years Experience

A trusted industry leader working for a diverse range of commercial customers.

20+ Years Experience

A trusted industry leader working for a diverse range of commercial customers.

20+ Years Experience

A trusted industry leader working for a diverse range of commercial customers.

ENERGY CONSULTANCY OF THE YEAR 2025

How Full the Tank Is Matters. – UK’s dwindling gas storage still a concern

Even though the UK has limited storage of its own, prices here are heavily influenced by how full Europe’s storage sites are. Storage acts as the region’s “energy savings account,” a buffer against cold weather, high demand and windless periods.  Europe entered the winter period with generally healthy storage at approximately 83% on 1st Oct 2025, showing resilience, which reduces the probability of extreme price spikes from supply shortfalls. This level is in the range observed in the years prior to the energy crisis.  In scenarios where there is further major disruption in supply, the EU gas system is resilient enough to increase LNG imports and compensate for the loss of supply. This highlights the earlier mention of having a healthy and robust LNG supply.

How Can Advantage Help? 

Our sustainability department continue offer an ever-increasing range of products and technology aimed at reducing energy consumption and associated costs as well as driving down carbon emissions. We will, of course, continue to keep you updated on these initiatives, but please do reach out to your designated point of contact should you wish to explore your options in this regard.

In terms of procurement, we will of course continue to monitor markets with a view to helping customers navigate the unprecedented circumstances and ascertain when constitutes the best time to seek a contract extension. 

Our popular flexible procurement options continue to be an option for an increasing number of clients on either a standalone basis or as part of a grouped basket. This often facilitates access to day/month ahead trading markets, which have proved to be particularly beneficial to many clients over the winter period. 

BULLISH IN Q1

  • EFFECTS OF A COLD WINTER SPELL

  • POLITICAL & ECONOMIC INSTABILITY AND UNCERTAINTY

  • RUSSIA/UKRAINE WAR – ENERGY INFRASTRUCTURE ATTACKS

RANGEBOUND IN Q1

  • MIDDLE EAST ESCALATION FEARS

  • VOLITILITY & UNCERTAINTY

  • OIL PRICES

  • CARBON

  • VENEZUELA

BEARISH IN Q1

  • MILD WINTER START

  • INCREASED LNG CARGOES

  • WHOLESALE FUTURES PRICES

  • INCREASED NORWEGIAN GAS FLOWS

  • TRUMP’S TARIFFS

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