French spot power falls on the back of gains in regional wind supplies
The French baseload electricity contract dropped sharply on Tuesday, as the region was expecting warmer temperatures and more wind.
LSEG data showed that the French baseload day-ahead power contract fell 80% at 0858 GMT to 11?euros (13.10) per Megawatt Hour. The German contract was not traded.
The LSEG compilation shows gaps in German day-ahead prices data for recent sessions.
Marcus Eriksson, LSEG analyst, stated that residual load in Germany is decreasing on Wednesday. The German spot price will likely trade between 116.50?euros/MWh and 128.30??euros/MWh.
LSEG data shows that German wind power production is expected to increase by?3.4 GW to 21.6 GW Wednesday, while French power is projected to grow?by 6.2 GW and reach 16.9 GW.
The?government announced on Tuesday that Britain had secured a record amount solar power through an auction which offered guaranteed electricity prices to renewable projects.
LSEG data shows that power consumption in Germany will fall by 1.6 GW Wednesday to 64.3 GW. In France, demand is expected to decline by 1.9 GW for a total of 57.1 GW.
The French nuclear availability increased by two percentage points, to 89% total capacity after the restart of Flamanville 3.
On Friday, the German baseload price for the year ahead fell 0.1% to 83.15 Euros/MWh while the French equivalent dropped?0.4% at 48.80 Euros/MWh.
Analysts at Engie’s EnergyScan say that the spread between German- and French-front-year prices could increase and even widen. This is due to the divergence in the carbon-to gas?spread.
The benchmark contract on the European carbon markets fell 0.7%, to 80.77 Euros per metric ton.
Analysts at EnergyScan said that carbon prices rose strongly on Monday, despite concerns about the European Commission slowing the phase-out of the free allocation. (1 dollar = 0.8396 euro) (Reporting and editing by Thomas Derpinghaus; Forrest Crellin)
(source: Reuters)
