European gas prices fall on strong renewables output

European natural gas futures were down on January 31, thanks to a surge in renewables output in recent days and stable Russian flow.

The March delivery contract at the Dutch TTF hub was down 5.2% as of 12:25 GMT, trading at €87.00 ($97)/MWh, according to ICE data. Wind generation across the continent was strong over the weekend and into January 31, reducing the need for gas. Wind farms are currently contributing 35% of power in the UK, while only 31.6% is coming from gas. In Germany, wind is providing 56% of electricity.

Meanwhile, westward Russian gas flow via the Yamal-Europe pipeline has remained stable in recent days.

Utilisation of natural gas storage facilities in the EU and the UK fell below 39% on January 31, according to Gas Infrastructure Europe (GIE). This time last year the facilities were 51.7% full.