Wind and solar help UK avoid £5.9bn in gas imports during Hormuz crisis
UK wind and solar generation reduced demand for imported gas during a Hormuz-related disruption.
Source →The trace
How it reaches your house.
Starting from BP plc, we walked the supply graph hop by hop to the goods you buy and the companies you own. Each step is the engine’s reasoning, scored for confidence and cited where a source backs it.
First impact
LNG peak-shaving and import facilities →Prices easeCarbon Brief reports wind and solar are directly cutting UK gas-fired electricity demand and avoiding £5.9bn of gas imports, which eases gas market pressure and pushes natural-gas prices down.
90% confidenceLNG peak-shaving and import facilities →Prices easeConstellation Energy (Everett LNG)CEG
With UK wind and solar cutting the need for LNG imports, throughput at LNG peak-shaving/import facilities falls, and this sole-qualified supplier with very low substitutability is exposed to weaker demand.
84% confidenceNatural Gas (Pipeline-Grade) →supply upHop 2
Residential Electricity →Prices easeHigher wind and solar output displaces gas-fired residential power, reducing demand for pipeline-grade natural gas and easing price pressure on this critical input.
74% confidenceChart Industries, Inc. →Prices easeLNG peak-shaving and import facilities
UK wind and solar reducing gas-import demand lowers orders for Chart Industries' LNG peak-shaving and import facilities business, putting downward pressure on that line's demand and pricing.
61% confidenceNatural gas wellhead production →Prices easeHop 3
QatarEnergy (Qatar Energy) →Prices easeNatural gas wellhead production
Lower UK import demand for gas reduces QatarEnergy's pull on upstream natural-gas wellhead production, pushing that input toward softer prices; the 7% share and non-sole status limit the size of the effect.
66% confidenceUnderground natural gas storage (depleted fields & salt caverns) →supply upUnderground gas storage is a critical input to the home gas market, so lower import demand leaves more gas available in storage and eases supply to homes.
41% confidence