Nordic Power: Forward rates rise after Russia cuts supply to Finland

INTER RAO Lietuva AB

16/05/2022 12:50

May 16 (Reuters) - Nordic forward power prices climbed on
Monday, supported by a drier weather outlook and on Russia's
decision to halt power exports to Finland. 
    * Nordic front-quarter baseload power contract  ENOFBLQc1  
rose
4.25 euros to 87.50 euros per megawatt hour (MWh) at 11:36 GMT.
    * The Nordic front-year contract  ENOFBLYc1  gained 1.3 euro
to
75.30 euros/MWh.   
    * Russian state-owned utility Inter RAO  IRAO.MM  said last
week
it would stop exporting electricity to Finland because it has
not been paid.  urn:newsml:reuters.com:*:nL5N2X8211  urn:newsml:reuters.com:*:nL5N2X54YV
    * Finnish grid operator Fingrid said power from Russia
accounted
for about 10% of Finland's total consumption.
    * A somewhat drier weather outlook ahead of the weekend, as
well
as Russia's decision to cut power exports to Finland adds to the
bullish sentiment, said Energi Danmark analyst Karsten Sander
Nielsen. 
    * "For how long Russia will stop exports and exactly what
the
consequences will be is uncertain, but the market responds with
rising prices at least today," Nielsen added.
    * Nordic water reserves available 15 days ahead  PCAEC00 
were
seen at 8.91 terawatt hours (TWh) below normal, down from 8.45
TWh below normal on Friday.
    * "Tomorrow and Wednesday will be sunny, dry and warm in the
western and southern parts while the east will retain some
clouds and cooler temperatures," said Georg Muller, a
meteorologist at Refinitiv.
    * Carbon front-year allowances  CFI2Zc1  firmed 0.7 euro to
89.18
euros a tonne.
    * The Nordic power price for next-day physical delivery
 FXSYSAL=NPX , or system price, rose 34.75 euros to 166.29
euros/MWh at an auction on the Nord Pool exchange.
    * In the financial market, the day-ahead contract  ENODc1 
was
last traded at 161.00 euros/MWh.
    * German baseload for 2023 delivery  TRDEBYZ3 , Europe's
benchmark
contract, fell 5 euros to 224.00 euros/MWh. EL/DE 


 (Reporting by Roshan Abraham in Bengaluru; Editing by Shailesh
Kuber)
 ((Roshan.Abraham@thomsonreuters.com;))