Wind supply is expected to surge, prompting a reduction in wind levels.

The European spot power price fell on Wednesday from its highs as there was more wind forecast in the coming days and the demand in the area eased.

LSEG analyst Francisco Gaspar Machado talked about "higher outputs of wind energy, aided with lower consumption and greater solar outputs."

LSEG data shows that French baseload power for the day ahead was down 27.5% at 108 Euros ($113.31), remaining at highs of several weeks, at 0925 GMT.

The German equivalent contract was not traded but the settlement indicated a significant drop from its previous 187.5 euro value.

The German wind energy output is expected to increase by 18.8 gigawatts per day to 26.3 GW. Meanwhile, the French supply will gain 8.5 GW and reach 11.2 GW.

The French nuclear capacity remained unchanged at 82%.

The average temperature in France will rise by 2.7 degrees Celsius, to 7.7 degrees Celsius.

German power consumption is expected to drop to 62.9 GW, from 63.2 GW during the same period.

The curve shows that the German baseload contract for 2025 was down 1.4%, at 96.7 Euros/MWh. In comparison, the French contract for 2025 lost 1.8%, at 74.8 Euros/MWh.

The European CO2 allowances in December 2024 fell 0.6% to 68.06 Euros per metric tonne.

Data analysis revealed that the gas-fired production of electricity in Germany increased by 79% from November to November, as utilities scrambled for a way to compensate for a second consecutive month with wind farm output being significantly below normal.

The Economy Ministry announced that the German cabinet approved a proposal to provide a subsidy of 1.3 billion euros for next year's electricity network fees.

(source: Reuters)