French Friday Spots Fall on Weaker Demand Forecast
French spot electricity contracts for Friday were dropped in anticipation that demand would continue to decline as temperatures rose.
By 1004 GMT, the French baseload day-ahead was down by 24.4% at 59 euros ($69.53). The equivalent German contract was not traded after it closed at 106.75 Euros/MWh.
Marcus Eriksson, LSEG analyst, expects Friday's German prices to be between 125-140 euros/MWh. This is higher than the closing price of 106.75 euro on Wednesday.
LSEG data shows that the French demand for electricity is expected to decrease by 850 Megawatts, or 2.2 gigawatts, to 59.3 GW this Friday, as temperatures are set to increase by 0.7 degrees Celsius.
Analysts at Engie EnergyScan said that in France, the?higher temperatures and moderately high winds are helping to lower prices. But they are also?helped by very low prices in Spain, which are driving down French prices throughout the day.
LSEG data revealed that German wind generation is expected to drop from 10.9 gigawatts down to 14.5 gigawatts, while French wind output will be reduced by 690 MW up to 9.6 GW.
LSEG's Marcus Eriksson said that the residual load in Germany is rising due to a weaker renewable supply. Imports are forecast for Friday.
The French nuclear capacity is flat at 88%.
German baseload year-ahead was down 0.6% to 83.95 Euro/MWh due to higher gas prices.
The French baseload for 2026 increased by 0.3% to?49.50 Euro/MWh.
Benchmark European carbon permits fell 0.7% to 82.37 Euros?a metric tonne.
A document from the EU, seen by, revealed that the European Union is considering a new diplomatic strategy to combat climate change after a difficult U.N. Summit last year, where it was unable to gain support for more aggressive and faster action to reduce planet-heating emission. $1 = 0.8486 Euros (Reporting and Editing by Elaine Hardcastle; Reporting by Forrest Krellin)
(source: Reuters)
