The rapid expansion of weather-dependent renewable energy sources is creating an unusual trend in European power markets: negative electricity prices. On days with strong winds or abundant sunshine, solar and wind farms often generate far more electricity than the grid can consume, leading to an oversupply that pushes prices below zero.
A recent report from the Hungarian Ministry of Energy shows that this phenomenon is becoming more frequent in Hungary. Between January and August 2025, the country recorded 309 hours of zero or negative prices, surpassing the previous full-year record of 306 hours set in 2024. By comparison, 2023 saw only 93 such cases — more than the total from the previous decade combined. Although the number of hours continues to increase, the ministry notes that the pace of growth is starting to level off.
This trend is not unique to Hungary. Across the European Union, there were nearly 10,000 hours of negative prices in 2024, reflecting the widespread adoption of renewable energy. To manage the volatility, energy storage has become essential. Storing excess electricity when production is high and releasing it during peak demand improves efficiency, stabilizes the market, and helps prevent extreme price fluctuations.
In response, the Hungarian government is implementing a €586 million program to expand storage capacity for households and businesses. Several major projects are already in progress. The national transmission system operator, MAVIR, has built a storage facility in Szolnok; MVM Group has added capacity in Liter; E.ON has launched operations in Soroksar; Opus Energetika has installed units in Aranyosapati, Csenger, Nyirlugos, and Rakamaz; and MOL is building a facility in Algyo.
Thanks to these initiatives, Hungary’s storage capacity is expected to grow from just 22 MW at the end of 2023 to 500 MW by next year. Longer-term goals, outlined in the Jedlik Anyos Energy Program, target an expansion to 1 GW by 2030, supported by a €127 million tender scheduled for autumn 2025.
Negative electricity prices highlight both the success of renewable energy deployment and the challenges it brings. By scaling up storage infrastructure, Hungary aims to capture surplus solar and wind power, strengthen grid stability, and ensure a reliable, affordable energy supply during the transition to a low-carbon future.
