Prices fall despite short-term bullish factors
The European spot electricity prices fell on Tuesday despite lower renewables and nuclear supplies and an increase in consumption?in France - as demand decreased across the region. LSEG analysis identified increasing thermal power as a market factor, which?overall?worked to bring down levels in Germany & France. LSEG data shows that the French baseload day-ahead was priced at 95 euros ($99.88 per megawatt hour) at 0940 GMT. This is 4% lower than at the previous close. The German equivalent price dropped 1.6% to 106.8 Euro/MWh.
Prices to rise on Monday due to wind power
European electricity prices will likely fall dramatically on Monday as wind power production is expected to increase in Germany and other parts of the region. LSEG data revealed that German -and French Monday baseload electricity contracts were not traded by?0859 GMT Friday. LSEG data shows that German wind power production is expected to increase by 12.3 gigawatts on Monday to 21.1 GW. French wind power is also projected to grow from 6.7 GW up to 9.7 GW.
Prices rise dramatically on lower wind volume
The European spot electricity prices rose on Wednesday due to forecasts of lower wind power generation, which overrode?effects from slightly higher solar power and nuclear power output. In a research note for the day ahead, LSEG analyst Xiulan said that "the signal?is bullish" for Germany. He added that France is also affected by this wind downturn. According to LSEG data, the price of French baseload electricity for delivery on Thursday was 17.4% higher than at 1000 GMT at 75.2 Euros ($87.53 per megawatt-hour (MWh).
Prices to be affected by Monday's warm and windy weather
The European electricity prices will likely fall dramatically on Monday due to the expected surge in wind power production in Germany. Meanwhile, warmer weather is sending demand down in France. LSEG data shows that the German and French baseload power contracts for Monday were not traded by 1008 GMT on Friday. LSEG data shows that German wind power production is expected to increase by 23.2 gigawatts on Monday to 28.8 GW. French wind power is forecast to grow 4 GW to 10,7 GW.
Reduced wind output increases power prices
The European day-ahead electricity prices rose on Thursday, compared to the previous session. This is because wind generation in the region is expected decrease. Riccardo Paraviero, LSEG analyst, said that the fundamental outlook for Germany has changed again to a tighter one. This is primarily due to the decreasing supply of wind energy. He added that conditions are similar across the rest the region. The French and Dutch residual loads will rise dramatically.
Merafe starts layoffs after proposal for electricity tariff fails to save South African Smelters
Merafe Resources announced on Tuesday that its chrome joint venture, with Glencore, has started formally laying workers off after a proposal for an electricity tariff failed to ensure the viability of two South African ferrochromesmelters. According to Glencore's estimates, South Africa has approximately 80% the known world chrome ore reserves. This makes the country a major player in the global ferrochrome industry. In May, however, power outages…
Spot prices increase on lower wind output
The European spot electricity prices rose on Tuesday as the wind generation output is expected to decline in France and Germany. LSEG data shows that the German baseload day-ahead power price at 0943 GMT was 102.50 Euros ($119.09 per megawatt-hour), up 9.7% on Friday's closing price for Monday delivery. Data showed that the equivalent French price for Monday delivery was 82.25 Euros/MWh. This is a 5.4% increase from the Friday price. LSEG data indicated that on the supply side German wind power output was expected to decline by 1.3 gigawatts…
French prompts to be cut by more than half due to forecasted weaker demand
The French spot electricity prices fell on Friday on the back of forecasts for higher temperatures and a stronger wind supply. Germany's prices, however, were not traded but were bid lower. LSEG’s day-ahead analyses cited a lower residual load overall in Germany, which meant fewer thermal plant requirements, with some intraday variations. LSEG data indicated that the electricity demand for the day ahead will probably fall by 1.8 gigawatts to 63.4 GW in Germany, and by 5.3 GW to 62.5 GW in France.
German prices are still high, but they have fallen in France.
The cold weather boosted the prices of France's power contracts, which are based on prompt delivery, in wholesale trading Tuesday. Germany's prices, however, fell, but remained nearly twice as high as their French equivalents. In recent days, low temperatures and a decline in wind power have increased electricity prices and caused them to be volatile. This is due to the weather-driven fluctuations in renewable output. Naser Hashemi, LSEG analyst…
After 0.2% price cap increase, energy bills for most Britons are on the rise
The regulator Ofgem has announced that it will increase its domestic price caps by 0.2% in January, due to increased policy costs. The government will suffer a setback, even though the increase is small. It has promised to lower energy prices, and it faces pressure next week to unveil budget measures to help reduce household bills. The increase is due in part to an addition of nearly one pound per bill to pay for the new Sizewell nuclear plant, which is estimated to cost around 38 billion pounds ($50billion).
Colder weather increases demand for spot prices
The European spot electricity prices rose for Tuesday on the expectation that colder weather forecasts will increase demand for heating. LSEG data shows that the German baseload day-ahead power price at 0846 GMT was 103.55 Euro per megawatt-hour, an increase of 9.3% over Friday's closing price for Monday delivery. Data showed that the equivalent French price for Monday delivery was 92 euros/MWh. This is 44.7% higher than the Friday price. LSEG analyst Xiulan He said that residual load was higher in the entire region due to the lower wind power output…
French and German electricity prices will be affected by the diverging wind trends on Monday
French and German power rates are expected to diverge on Monday. Higher wind generation is expected to pressure German spot prices, while higher demand combined with lower wind supplies should lift French day-ahead contract prices. LSEG data shows that the German and French baseload power contracts for Mondays were not traded by 8:56 GMT Friday. LSEG analyst Xiulan Xiulan said that the European power market showed a bearish sign on Monday. This was mainly due to strong wind generation in Germany and Austria.
German Spot Falls on Stronger Wind Output
German spot electricity prices for Thursday dropped as the wind forecasts are lower, and the demand is expected to be lower. The French price increased on higher demand after Tuesday's holiday. German baseload for the day ahead fell 10.3%, to 70.40 Euros ($82.10) per megawatt-hour (MWh), by 0956 GMT. The French baseload for the day ahead was up by 38.9% to 31.25 Euro/MWh. LSEG data indicated that German wind power production was expected to increase by 4.1 gigawatts on Thursday to 30 GW.
Eneos, a Japanese company, warns of rising costs in developing offshore wind businesses
Eneos Holdings - Japan's largest oil refiner that has expanded into renewable energy - warned on Wednesday of the rising cost of developing their offshore wind project. Their CEO said returns were difficult. Eneos' Japan Renewable Energy unit won the government auction in March 2024 to develop a 375 megawatt offshore wind farm in northern Akita Prefecture, Japan, with Spain's Iberdrola, and Tohoku Electric Power Co. Construction will begin in 2020, and operations are expected to begin in 2029.
EUROPE GAS-European gas prices are soaring on the back of mild weather and strong supply
The Dutch and British electricity prices were in a tight range on Tuesday, as the mild weather kept heating demand low and amid a strong supply of LNG and natural gas from Norway. LSEG data shows that the benchmark Dutch front-month contract was up 0.04 euros at 31.05 Euro per megawatt hour (10.53/mmBtu) at 1032 GMT. The Dutch day-ahead contracts was down by 0.14 euros at 30.30 Euro/MWh. The British day-ahead price of gas was down 3.75 pence, at 66.75 p/therm. And the front-month contract increased 0.47 pence, to 81.10 pence/therm.
EUROPE GAS - European prices are mixed due to divergent weather forecasts
Dutch and British electricity prices were mixed Monday morning, reflecting forecasts for a quicker return to cooler temperatures that will increase gas demand. However, the weather is still expected to be warmer than normal and windy in the coming days. LSEG data shows that the benchmark Dutch front-month contract was up 0.03 euros at 31.21 Euro per megawatt hour at TTF hub, or $10.58/mmBtu at 0924 GMT. The Dutch day-ahead contracts was up by 0.03 euros at 31.08 Euro/MWh. The British day-ahead price of gas was down 3.05 pence, at 73.20 pence p/therm.
Spot price expected to be affected by strong German wind output
The European spot electricity prices are expected to drop on Tuesday as the wind power supply is expected to increase and demand in France will fall during Armistice Day, November 11. The French and German contracts remained untraded as of 0846 GMT. According to LSEG, the French contract had a range of bids and offers between 15 euros ($15.16), and 24 euros, per megawatt hour. The data revealed that the closing prices for Monday in France were 49.10 euro/MWh and in Germany 109.90 euro/MWh.
Prices rise due to wind and nuclear shortages
The European day-ahead electricity prices rose on Thursday, as supplies of wind and nuclear power tightened. Demand in France, however, was expected to be unusually high, given the lower temperatures, for a Friday. "The lifted residue load underpins a positive signal," said LSEG Analyst Riccardo Paraviero. He was referring to the increasing requirements for thermal capacities. Operators were also ramping up their gas availability to take advantage higher prices.
Nikkei reports that Japan's PM has rejected the US request to ban Russian imports of energy
The Nikkei daily, citing Japanese officials, reported that the Japanese Prime Minister Sanae Takaichi had told U.S. president Donald Trump during their meeting on Wednesday in Tokyo that it would be difficult to ban Russian LNG imports. Sakhalin-2 is a project in which Japanese companies Mitsui & Mitsubishi have stakes. Before Trump's Asia visit this week, the U.S. encouraged buyers of Russian oil, including Japan to stop imports and put sanctions on Moscow’s two largest oil exporters…
Rio Tinto warns of an uncertain future for Australia's largest aluminum smelter
Rio Tinto warned that Australia's biggest aluminium smelter Tomago may have to close down if it cannot source power at rates commercially viable beyond 2028, when its current electricity deal expires. Tomago Aluminium, the largest power user in New South Wales, was built to take advantage Australia's abundant and cheap coal. Rio Tinto stated that power accounts for more than 40% in Tomago’s operating costs. Both coal-fired options and renewables are expected to increase sharply once the existing contract expires.