The market continued to be bullish, even though August dropped, and the prompt also dipped marginally. Winter 06 proved to be quite volatile, with significant daily swings (between £2-£4) some of this was due to a wide bid offer spread, and a continuing lack of liquidity. More plant build was annouced, and many of these projects will be financed on forward curve prices, and locked in at this level. There is no doubt that long dated power is cheaper than short dated power and this trend will continue if the relentless new build programmes embraced by generators continues. Added pressure to this market is the nuclear debate, and the ground looks to be clearing for an extensive government build programme of nuclear plant on the old existing sites. Effectively having an old for new policy, with a new single type of reactor and a quick build policy. The argument in the past of nuclear taking too long to build has gone as technology and the need for feasibility studies has gone with time.