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US strikes on Iranian targets followed. For pubs, the immediate question is simple: can LNG cargoes keep moving through the Strait?
Market update
If shipping holds, gas prices have room to ease. If it does not, Europe will be competing harder for LNG while it refills storage for winter. European storage remains below its pre-crisis average, although the European
Commission says there is no immediate concern for winter supply. That leaves gas as the bigger risk for the next round of pub renewals.
It is hot as well. The Met Office expects very warm conditions in places next week. That means cellars, fridges and air conditioning work harder during busy trading hours, particularly for food-led sites and pubs with rooms.
Business energy costs
The latest NEC sample puts electricity commodity cost at 10.3p per kWh, back to the level seen on 12 June.
Gas is at 4.1p per kWh, up from 3.3p in late June. Gas is being driven by LNG shipping. Electricity bills have another layer: network, balancing and policy-related charges. A pub can see those costs even when wholesale power is flat.
There is also a supplier check to make now. EDF has advised that active contracts and future-dated agreements need a valid direct debit in place.
If there is no active direct debit, EDF may cancel the contract and move the site onto deemed rates. For a licensee taking on a pub, that can mean losing the agreed price before the contract starts.
Check the direct debit before changing payment method or completing a change of tenancy. If your renewal is inside three months, get fresh offers now. If it is six to twelve months away, keep watching the market and the standing charge.
Nationwide Energy offers the support you need to make your next energy contract transition smoother, deal with supplier issues or review your energy consumption.
