Gas Market Manipulation

backfoot

Looks like a huge breaking story now in the Gas Market.

http://www.guardian.co.uk/business/2012/nov/12/libor-like-manipulation-gas-markets

ColinFishwick

I am not at all surprised

HappyMJ

backfoot wrote: »

Looks like a huge breaking story now in the Gas Market.

http://www.guardian.co.uk/business/2012/nov/12/libor-like-manipulation-gas-markets

Hardly huge...half a penny a therm down on the opening and closing prices on the whoesale market on one day....granted the most important day being the last day in a quarter. What effect does that have on retail pricing? It's a bit like a car dealership selling stock at a low price in the last week of the quarter. It doesn't really make much difference to the overall pricing for everyone else in the rest of the year.

I would have expected the (alleged fixed) price to be higher than average rather than low as that is what the retail companies use to prove prices are going up.

backfoot

http://www.bbc.co.uk/news/business-20305667

BBC now have a report and a House Of Commons statement expected from the Energy Secretary tomorrow.

jd87

The irony is that, while everyone is getting upset about "big nasty companies fixing the gas price", what this story is about is a company trying to push the DA Heren down. This would have the effect of suppliers like EDF, Eon, etc not having to pay as much to producers (usually big oil companies) for their gas. This would mean more profit for suppliers and less profit for producers, there's no loss to the consumer here. In fact if anything it would mean the suppliers could pass on their saving to the consumer!

MillicentBystander

jd87 wrote: »

The irony is that, while everyone is getting upset about "big nasty companies fixing the gas price", what this story is about is a company trying to push the DA Heren down. This would have the effect of suppliers like EDF, Eon, etc not having to pay as much to producers (usually big oil companies) for their gas. This would mean more profit for suppliers and less profit for producers, there's no loss to the consumer here. In fact if anything it would mean the suppliers could pass on their saving to the consumer!

Hilarious. :rotfl:

backfoot

jd87 wrote: »

The irony is that, while everyone is getting upset about "big nasty companies fixing the gas price", what this story is about is a company trying to push the DA Heren down. This would have the effect of suppliers like EDF, Eon, etc not having to pay as much to producers (usually big oil companies) for their gas. This would mean more profit for suppliers and less profit for producers, there's no loss to the consumer here. In fact if anything it would mean the suppliers could pass on their saving to the consumer!

So no need for the FSA to waste their time? Better let the Energy Secretary have the details before they waste any money.

Are you involved in this market?

The whistleblower is and he thinks somethings dodgy. He did say 'like' ever such a lot though in those videos, so he may be a bit unreliable.

Complex stuff if you ask me and yet we have posters with definite conclusions within hours of the breaking news

backfoot

Labour Party Statement ;

Labour: 'Action needed over gas markets'

These are very concerning reports, which if true suggest shocking behaviour in the energy market that should be dealt with strongly.
For months Labour has said that customers are getting a raw deal and the gas and electricity companies should be forced to sell the energy they generate into a pool, to open up the market and ensure fairer consumer prices. These reports make the need for action all the more urgent.

– Caroline Flint MP, Labour's Shadow Energy and Climate Change Secretary

Terrylw1

backfoot wrote: »

Labour Party Statement ;

Labour: 'Action needed over gas markets'

These are very concerning reports, which if true suggest shocking behaviour in the energy market that should be dealt with strongly.
For months Labour has said that customers are getting a raw deal and the gas and electricity companies should be forced to sell the energy they generate into a pool, to open up the market and ensure fairer consumer prices. These reports make the need for action all the more urgent.

– Caroline Flint MP, Labour's Shadow Energy and Climate Change Secretary

Whilst I can't dispute the need for action, such statements from Labour are just political point scoring since the market was out of control while they were in power and it was only the likes of Energywatch, Consumer Focus, CAB, etc that attempted to fight for consumers.

Terrylw1

NPower said: "There is an explicit commitment in our code of conduct to comply with all laws and regulations."

After being on this board, my only response can be...:rotfl::rotfl::rotfl:

MillicentBystander

Terrylw1 wrote: »

Whilst I can't dispute the need for action, such statements from Labour are just political point scoring since the market was out of control while they were in power and it was only the likes of Energywatch, Consumer Focus, CAB, etc that attempted to fight for consumers.

Speaking as a 'left-leaner' I can only (sadly) wholeheartedly agree. Labour had THIRTEEN YEARS to sort out this appalling mess of an industry, including an Energy Minister by the name of Ed Milliband. Never happened but now they see it as rich political pickings. The Tories and Labour are basically as bad as each other when it comes to this industry.