Electricity prices in the Southeast Europe (SEE) region experienced a substantial increase during Week 03, with all monitored markets reporting week-on-week price gains. The regional average price surged approximately 29%, with Serbia leading the charge with a remarkable 65.5% increase, signaling tight supply conditions and heightened reliance on imports. Bulgaria, Romania, and Hungary’s prices clustered within the €170–175/MWh range, indicative of strong regional market coupling and similar pricing mechanisms. Greece’s electricity prices rose nearly 37% due to decreased renewable energy generation and elevated marginal costs, primarily influenced by gas-fired generation. In contrast, Italy’s increase was more moderate at 14%, remaining below the regional average, while Türkiye recorded the lowest weekly average at €60.20/MWh, reflecting distinct market dynamics and limited coupling.
The Central European electricity market also saw notable increases, averaging around €123/MWh in the second week of January. Most countries reported prices above €100–110/MWh, spurred by heightened demand from a cold weather snap. France’s prices were on the lower end at €103/MWh while Slovakia reached a peak average of €163.91/MWh (+21.12% WoW).
In Week 03 of 2026, the European wholesale electricity market averaged €140/MWh with minimal variation across regions. Prices ranged from €103.23/MWh in France to €175.10/MWh in Romania. The Iberian markets also thrived with Spain and Portugal experiencing gains of approximately 40%, reaching around €110/MWh each. Most SEE countries noted prices exceeding €115/MWh; however, peaks were typically observed on specific days exceeding €200/MWh.
Electricity demand across SEE rose moderately by 3.2% WoW, exerting upward pressure on prices, particularly in markets facing generation constraints. Notable demand spikes were recorded in Greece, Romania, and Bulgaria due to colder temperatures necessitating increased heating usage during peak hours. Türkiye recorded the largest absolute increase (+430 GWh), whereas Hungary and Serbia exhibited slight growth rates of 1.14% and 2.34%. Conversely, Italy faced a contraction of 3.3% in demand while Croatia experienced a significant drop of 15.1%, partially offsetting overall regional growth.
Variable renewable energy (RES) generation within SEE fell sharply by 34.2% WoW, decreasing from 3,871.8 GWh to 2,547.9 GWh primarily due to a dramatic 45.8% decline in wind generation despite a modest increase in solar output by 27.7%. Greece reported a -46.5% drop in wind production while solar increased by 56.9%. Romania also faced a -20.5% decline dominated by weak wind output.
Hydropower generation provided essential support against low wind production during Week 03 as total output increased from 1.72 TWh to 2.22 TWh; Croatia saw an impressive rise of +485%, while Greece doubled its hydropower generation (+106%). Türkiye contributed significantly with an additional +41.1%, enhancing regional flexibility.
Thermal power generation also rose across SEE by 16.4% WoW to reach 10.68 TWh, driven largely by increased gas-fired output necessary for balancing weak wind resources and meeting demand needs; gas generation grew by 22.6% to reach 6.98 TWh with notable contributions from Italy (+466 GWh), Türkiye (+620 GWh), and Greece (+163 GWh). Lignite and coal generation increased by 6.3%, led predominantly by Türkiye.
Cross-border electricity exchanges climbed by 18.2% WoW to hit approximately 1.58 TWh amid higher demand coupled with reduced renewable availability particularly from wind sources; Italy remained the largest net importer at stable levels of around 941 GWh while Romania saw a sharp relative increase (+175%) indicating tight domestic supply-demand balance.
