German spot prices are impacted by lower demand on Monday
German power prices will likely fall on Monday as a drop in wind power production is expected to be offset by a lower consumption.
LSEG data showed that the German and French Monday baseload 'power contracts' were not traded by 8:40 GMT on a Friday.
LSEG data shows that German wind power production is expected to drop by 2.4 gigawatts to 26.3 GW Monday. French wind power is also expected to decline 1.9 GW down to 3.5 GW.
"Even though the wind has dropped?in Germany, the residual load is lower by 3 GWh/h compared to last Friday due to a decrease in demand related to holidays," said LSEG's Naser Hashemi.
LSEG data showed that power consumption in Germany will drop by 5.6 GW Monday to 54.5 GW. In France, demand is expected to fall by 1.3 GW by Monday to '56.5 GW.
The French nuclear power capacity increased by five percentage points, reaching 92%, after Chooz 1 & Tricastin 3 returned to service following planned outages. Bugey 4 & Cruas 1 also came back on line after unplanned outages.
The French state-owned utility,?EDF, announced on Thursday it would cap construction costs for six new nuclear reactors at 72.8 billion euros ($85.25billion), and commit to enhancing both the cost efficiency of construction as well as its speed.
The German and French year-ahead baseloads had not yet begun trading, despite closing Thursday at 84.9 euros/MWh and 49.5 euro/MWh respectively.
Mind Energy analysts stated in their morning report that the closing price of the German contract was "significantly lower than just one month ago" due to the mild winter and the low gas consumption.
The benchmark contract on the European carbon markets fell by 0.1%, to 86.4 Euros per metric ton.
(source: Reuters)
