Market Report | May 2024
REGO
- May was an incredibly busy month in the REGO market with suppliers looking to balance their position prior to the Ofgem Fuel Mix Disclosure (FMD) on the 30th June.
- May also proved to be one of the most volatile months that we have seen, with CP22 prices fluctuating over 54%, moving between £11/REGO and peaking at £17/REGO.
- The main buyers have now secured their required volumes for this FMD and as a result we are now seeing prices come back down.
- CP22 is currently achieving between £11.50-13.50/REGO. Any generators with volume still available should look to trade in this small window of opportunity.
- CP23 is currently trading between £8-9/REGO.
- CP24 is currently trading between £7-7.50/REGO.
“Last chance to sell out CP22 REGO volume”
Clare Haigh - Head of Environmental Markets at C-Zero
RGGO
- Not a great deal of action on the RGGO market this month as suppliers await their Q1 2024 figures before committing to sales.
- There has been increased interest in 2023 Crop as some buyers still have positions to cover which has driven bids above £5.
- There is still plenty of 2023 volumes in producers accounts according to the GGCS’s latest figures so this uplift might be short lived.
- Enquiries from buyers are still mostly for 2024 volumes. A spread of £1-2 remains between buyers and sellers price expectations. However, producers with tighter cashflows could be tempted to accept buyer’s bids.
“A small uptick in RGGO prices as buyers seek to cover outstanding positions - no real signs of the market rallying”
Mike Ridler - CEO at C-Zero
