Spot prices fall on increasing wind and solar volumes
The European power price fell on Thursday as a result of the expectation that wind and solar energy will be more available in the days ahead. This overshadowed the effect of the rising demand due to the cooling temperatures.
At 0820 GMT, the price of German baseload electricity for Friday had fallen by 71.1% to 17.0 euros per Megawatt Hour (MWh).
The French equivalent contract was 21.0 euros/MWh down 16.8%.
LSEG data indicated that the German wind power production was expected to be 41.1 gigawatts on Friday compared to 30.5 GW Thursday.
In Germany and France, solar output is expected to increase by 2.7 GW per day to reach 11.2 GW.
LSEG's research found that the German lignite capacities were higher, but the French nuclear capacities lower.
The installed total was 69%, a six-point decrease from Wednesday.
Other French power groups have announced that some of their workers will be on strike between the evening of September 30 and October 1.
The demand for electricity in Germany was expected to increase by 700 MW to 54.0 GW, on Friday. This is usually a day of low consumption due to the two-degree drop in temperature.
In France, consumption should increase by 600 MW in the same time period to 44.1 GW with temperatures dropping three degrees.
In Germany, the price of baseload power for the year ahead was 1.4% lower at 85.5 Euros/MWh. The French equivalent, which closed at 71.5 Euros/MWh, was not traded.
The European CO2 allowances expiring in December 2024 fell by 1.2%, to 64.44 Euros per metric ton.
A LSEG quarterly research report on thermal coal for the third quarter of 2024 stated that coal consumption in North-East Asia was higher than usual due to seasonal factors, while imports from Europe were low because of high port inventories. (Reporting and editing by Emelia Sithole Matarise; Vera Eckert)
(source: Reuters)
