Prices rise due to increased demand and colder weather

German and French spot price for Tuesday increased on Monday as demand is expected to increase in the region due to colder temperatures forecast.

LSEG data shows that the German day-ahead electricity price was 123.25 Euros ($133) per Megawatt per Hour (MWh) at 0925 GMT. This is 46.7% higher than Friday's rate for Monday.

Data showed that the price of French baseload electricity for Tuesday was 250% higher than Friday's, at 99.75 Euros/MWh.

LSEG data shows that power consumption in Germany will increase by 2.2 GW Tuesday to 59.6 GW. In France, demand is expected to grow by 2.8 GW up to 53.6 GW.

Riccardo Paraviero, LSEG analyst, says that residual load will increase on Tuesday in the entire region due to a drop in temperature and a reduction of solar power.

LSEG data indicated that the German wind power production was expected to drop by 400 megawatts to 4.1 GW while French output is projected to increase 1.2 gigawatts to 2.8 GW.

The French nuclear capacity remained at 77%.

The German power price for the year ahead was unchanged at 82.30 Euros/MWh.

The French baseload contract for the front-year gained 3.2% on Friday to 63.30 Euros/MWh.

The benchmark contract on the European carbon markets was up 0.6%, at 69.06 Euros per metric ton.

(source: Reuters)