In the week of December 4, prices in major European electricity markets decreased compared to the previous week. The exception was the Nord Pool market of the Nordic countries, with an increase of 3.6%. On the other hand, the MIBEL market of Spain and Portugal registered the largest price drop, 27%, while the IPEX market of Italy had the smallest decline, 8.1%. In the rest of the markets analyzed at AleaSoft Energy Forecasting, prices fell between 23% in the EPEX SPOT market of Germany and 26% in the EPEX SPOT market of Belgium and France.
In the first week of December, weekly averages were below €110/MWh in almost all analyzed European electricity markets. The exception was the Italian market, with an average of €123.21/MWh. In contrast, the Portuguese and Spanish markets registered the lowest weekly averages, €68.15/MWh and €68.21/MWh, respectively. In the rest of the analyzed markets, prices ranged from €97.53/MWh in the French market to €106.24/MWh in the N2EX market of the United Kingdom.
On the other hand, the Spanish and Portuguese markets reached the lowest hourly prices in the first week of December. In fact, since November 29, the MIBEL market has registered every day the lowest daily prices among the main European electricity markets. This market registered the minimum hourly price of the week of December 4, €4.30/MWh, on December 8 from 3:00 to 7:00 and from 11:00 to 16:00. In contrast, the Nordic market registered the highest price, €214.53/MWh, on December 5, from 8:00 to 9:00. This price was the highest in this market since the second half of December 2022.
During the week of December 4, the drop in the average price of gas and CO2 emission rights and the fall in electricity demand in most markets led to lower prices in the European electricity markets. The increase in wind energy production in countries such as Germany, France and Portugal also had a downward influence on prices.
AleaSoft Energy Forecasting’s price forecasts indicate that in the second week of December, prices might continue to fall in most major European electricity markets. Declining demand in some markets and increased solar energy production in markets such as Germany and Spain, as well as increased wind energy production in Italy, might contribute to this behaviour.
