Spot prices rise due to lower German solar power
The European spot electricity prices for Wednesday increased on Tuesday, as the German solar power shortage was expected to be greater than gains from wind power and lower demand.
German day-ahead electricity gained 1.2% at 0912 GMT to 125.75 Euros per Megawatt Hour.
LSEG data shows that the French baseload rate for the day to come was up 10.4%, at 109.60 Euro/MWh.
Ricardo Parviero, LSEG analyst, said: "German outlook is bullish once again. This is backed by a significant decline in solar energy supplies."
He added that a slight drop in demand, coupled with a modest increase in wind energy supplies, does not fully offset the decline in solar power.
LSEG data revealed that solar power production in Germany will fall by 3 gigawatts to 5.6 GW.
LSEG data indicated that Germany expected wind output to increase by 430 megawatts to 20.6 GW, while French output was predicted to increase by 510 megawatts to 2.9 GW.
The French nuclear capacity remained unchanged at 77%.
LSEG data shows that power consumption in Germany will decrease by 310 MW on Wednesday to 59.3 GW while in France, demand is expected to increase 1.8 GW up to 55.5 GW.
The German baseload contract for the year ahead was up 0.5% to 83.70 Euros/MWh.
Analysts at Energi Danmark said that there are signs the German power forward markets want to pause the downward trend, but nothing fundamentally has changed since Monday's bullish increase and the end last week.
TenneT is the largest grid operator of the Netherlands and Germany. On Tuesday, it invited anyone interested in acquiring a stake in their German operations to contact them.
The French year-ahead was not traded with a range between 63.25 and 65.25 euros.
The benchmark contract for the European carbon market 2025 fell 0.3% to 68.80 euro per metric tonne. Forrest Crellin, Shakesh Kuber and Shalin Kuber are responsible for reporting.
(source: Reuters)
