French up and German down on mixed weather signals
On Wednesday, European power prices took different directions. Germany's fell due to higher wind generation while France's rose along with increased demand caused by the colder weather.
The German power price for the day ahead fell by 2.8% at 0900 GMT to 122.8 Euros ($134.10) per Megawatt Hour.
The French baseload rate for the day ahead was up 6.2% to 116.3 euros/MWh.
LSEG data indicated that Germany expected wind output to increase to 5.9 gigawatts on Thursday. This is an increase of 600 megawatts.
The French nuclear capacity remained unchanged at 77%.
In France, power consumption increased by 2.4 GW to 58 GW and in Germany by 300 MW.
The German baseload for the year ahead was 0.6% lower at 82.5 Euros/MWh, and the French position remained untraded at 63.9 Euros after closing.
The benchmark contract for 2025 on the European carbon market was unchanged at 68.0 Euros per metric ton.
A report by Swiss utility Axpo predicts that gas markets will soften in the remaining part of the month due to the strong European LNG imports, which are driven by low demand in Asia, and the high U.S. supplies of LNG. This is in line with predictions for falling prices on the energy market.
The report also stated that "the influence of policy at present is very intense, and poses serious challenges to energy producers, traders, and consumers alike." It was referring to the tariff wars.
According to the German statistics office Destatis, in 2024, 431.5 kilowatt-hours (kWh) of electrical energy will be generated in Germany and fed into grid, which is 3.6% less than 2023.
RWE, a German utility company, has announced that it will supply TotalEnergies in France with 30,000 tonnes green hydrogen per year starting in 2030. This would be the largest amount of green hydrogen ever purchased from a German facility. $1 = 0.9158 Euros (Reporting and editing by Vera Eckert)
(source: Reuters)
