German wind power supply increases leads to a drop in spot prices
The European power price for Thursday dropped on the back of increased wind generation forecasts in Germany, Netherlands and Belgium.
LSEG data show that the price of German baseload electricity for Thursday fell 17.2%, to 125 Euros ($132.83) per Megawatt Hour (MWh), by 0956 GMT Wednesday.
The French power price for the day ahead fell by 5.3%, to 124 Euros/MWh.
Guro Marie Wyller, LSEG analyst, says that the residual load in Germany will decrease on Thursday due to a surge in wind power and a slight reduction in consumption.
Guro said that the Netherlands and Belgium will follow the same pattern, while France follows the opposite.
LSEG data indicated that the German wind output was expected to increase by 7.8 gigawatts to 16.8 GW while French output of wind power is expected fall 3.1 GW - 3.6 GW.
The French nuclear capacity has increased by two percentage points, to 80%.
LSEG data shows that power consumption in Germany will fall by 570 Megawatts (MW) to 60.8 GW in the coming session, while France's demand is forecast to drop 250 MW to 57.7 GW.
The German power contract for 2025 was 76.60 Euros/MWh.
The European CO2 allowances in December 2024 are down 1.3%, at 66.70 Euros per metric ton.
Analysts at Energi Danmark say that German spot prices remain high, and that the forecast for next week's cold weather is also good news. However, the windier forecasts, and possible need for a corrective action, weighed more heavily on the German forward contracts. ($1 = 0.9411 euro) (Reporting and editing by Shreya Biwas; Forrest Crellin)
(source: Reuters)
