In the fourth week of February, electricity prices rose across most major European markets compared to the previous week. However, exceptions were seen in Italy’s IPEX market and the Nordic region’s Nord Pool market, where prices fell by 11% and 26%, respectively. Among the markets analyzed by AleaSoft Energy Forecasting, the highest price increase was recorded in Germany’s EPEX SPOT market, where prices rose by 12%, while France saw the smallest increase at just 0.9%.
During the week of February 24, weekly average electricity prices exceeded €100/MWh in most European markets. The exceptions were the Nordic market, where the average price stood at €39.81/MWh, and the MIBEL market of Spain and Portugal, which averaged €91.68/MWh. Despite a decline in prices, Italy remained the most expensive market, with a weekly average of €132.70/MWh. In other markets, prices ranged from €101.12/MWh in France to €119.44/MWh in Germany.
Daily price trends and record lows
On Sunday, March 2, the Nordic market recorded the lowest price of the week at €7.74/MWh. The following day, March 3, prices fell even further to €6.86/MWh, marking the lowest level since December 30, 2024. Meanwhile, in Italy, electricity prices dropped to €106.26/MWh on March 2, the lowest level in this market since December 24, 2024.
Factors influencing price changes
Several factors contributed to the price trends observed in late February:
- Rising Prices: The decline in solar energy production in the Iberian Peninsula and Germany, coupled with a drop in wind energy output in Germany, pushed prices higher in these markets. Additionally, increased electricity demand in Spain and the Netherlands further contributed to price increases.
- Price-Limiting Factors: A decline in gas and CO2 emission allowance prices, along with rising wind energy production and lower electricity demand in most major markets, helped limit price hikes across Europe. In Italy, a significant increase in wind energy generation played a key role in reducing electricity prices, AleaSoft reports.
