In the fourth week of September, average electricity prices across major European markets experienced a decline compared to the previous week. The N2EX market in the United Kingdom and the IPEX market in Italy recorded the smallest percentage drops, at 1.5% and 1.8%, respectively. In contrast, the Nord Pool market in the Nordic countries saw the largest decrease, with prices falling by 26%. Other markets analyzed by AleaSoft Energy Forecasting reported price declines ranging from 12% in the EPEX SPOT market of the Netherlands to 25% in the MIBEL market of Spain.
During this week, most European electricity markets had weekly averages below €70/MWh, with the exceptions being the British and Italian markets, which recorded averages of €94.34/MWh and €109.57/MWh, respectively. The Nordic market had the lowest weekly average at €19.11/MWh, while prices in other markets varied from €35.15/MWh in France to €68.00/MWh in the Netherlands.
Most analyzed markets also saw negative hourly prices during the fourth week of September, with exceptions including the Italian, Nordic, and Portuguese markets. The German, Belgian, British, Spanish, French, and Dutch markets experienced negative prices on Friday, September 27, and on Sunday, September 29, with the German market hitting the lowest hourly price of €6.32/MWh from 1:00 PM to 2:00 PM on September 27. Although the Italian market did not record negative hourly prices, it reached a low of €0.97/MWh from 1:00 PM to 2:00 PM on September 29, the lowest since April 8.
The overall increase in wind energy production contributed to the lower prices in the European electricity markets, despite rising costs for gas and CO2 emission allowances. Additionally, solar energy production saw an uptick in the Italian market. In that market, along with Belgium, Spain, and Portugal, decreased electricity demand further contributed to the price decline.
Looking ahead, AleaSoft Energy Forecasting’s price forecasts suggest that electricity prices may rise in most European markets during the first week of October, driven by a decrease in wind energy production and increased demand in some regions, AleaSoft reports.
