Europe Power: Prices down in Germany, up in France which keeps discount

European Energy Exchange AG

26/06/2024 09:26

FRANKFURT, June 26 (Reuters) - 
    Wholesale prompt power prices fell sharply in Germany on
Wednesday on more supply but stronger demand drove prices higher
in France, narrowing a discount to Germany, which remains in
place.
  
    The spot market saw some big price divergence on Tuesday
afternoon after technical problems at the Oslo-based spot
exchange Nord Pool delayed the publication of prices.
    German day-ahead baseload  TRDEBD1  was down 39.6% at 96
euros ($102.63) per megawatt hour (MWh) at 0750 GMT.
    French day-ahead baseload power  TRFRBD1  jumped 37.5% to
trade at 71.5 euros/MWh.
    France's discount comes from an oversupply of nuclear and
hydropower, with limited cross-border transit capacity.
    LSEG data showed demand increases throughout the region,
triggered by the arrival of hot weather, which boosts the use of
air conditioners.
    Wind power supply in Germany, however, was due to gain 200
MW to come in at 6.7 gigawatts (GW) and rise by 1 GW in France
to 2.2 GW on Thursday. LSEG also noted increased coal and gas
burning capacity availability.
    French nuclear capacity ran unchanged at 70% of the
installed maximum.  POWER/FR 
    On the demand side, LSEG forecasts pegged German usage at
55.7 GW, up 200 MW, and that in France at 44.5 GW, up 600 MW, on
Thursday, with temperatures in a broad 23-24 degree Celsius
range.
    German year-ahead power  TRDEBYZ5  was untraded after
closing at 91.35 euros/MWh and the equivalent French 2025
contract also did not change hands  TRFRBYZ5 , having settled at
69 euros.
    European CO2 allowances for December 2024  CFI2Zc1  were up
1.1% at 68.65 euros a metric ton.
    The U.S. Nasdaq exchange has cancelled plans to transfer its
Nordic power trading and clearing business to the European
Energy Exchange (EEX), both said in separate statements on
Wednesday.
    VDKI, a German importers group of hard coal, said current
annual import levels were 33 million tonnes, of which 18 million
were for power generation, the rest for heating and steelmaking.

($1 = 0.9354 euros)

 (Reporting by Vera Eckert, editing by Eileen Soreng)
 ((vera.eckert@thomsonreuters.com; +49 30 2201 33654))