Peel’s side had plenty of possession but were hampered by handling errors and a resolute Ospreys defence.
Tries from centre Owen Watkin, hooker Dewi Lake, scrum-half Kieran Hardy and replacement Iestyn Hopkins sealed the bonus-point derby victory.
Scarlets had to be content with two tries for wing Joe Roberts and a late score for flanker Jarrod Taylor, while a last-gasp Joe Hawkins conversion sealed a losing bonus point for the hosts.
“I’m gutted about the result because I felt like we were in a good spot going into it,” said Peel.
“We turned a lot of ball over there and it was an area of the game where I felt we could have had dominance in the game if we had been accurate.
“We started brightly. In the first 20 minutes we had all the territory and possession, but we couldn’t get over the line.
“We weren’t at the races in the second half. So, there’s elements when we look back, we will be disappointed with when we review the game.”
Peel is hoping his captain Josh Macleod will return for the New Year’s Day derby trip to face Dragons at Rodney Parade.
The flanker missed the Ospreys defeat after suffering a head knock during the victory against Cardiff before Christmas.
“He’s been playing really well,” said Peel. “From a leadership perspective, and you do miss him as a quality player. I’m hoping he’ll be fine for next week.”
It will be another basement battle as 16th place Scarlets face a Dragons side one position above them in the table.
“It comes thick and fast now,” said Peel. “It’s an important game for us next week as well and it’s going to be a tough one up there in Newport.”
[Lead image: Scarlets Rugby]
