PARIS, Oct 11 (Reuters) – European spot power contracts jumped on Tuesday as wind supply was seen falling on Wednesday.
“Wind power continues to drop, giving tomorrow’s outlook a slightly bullish signal, while solar power timidly rises,” Refinitiv analysts said.
A succession of low-pressure systems across northern Europe that has favoured renewable power generation from wind is expected to continue, broker Marex said.
The increased wind output has also been partly responsible for a shift in demand from coal and gas-fired power production over the last couple weeks, Marex said.
German Wednesday baseload gained 13.2% to 275 euros per megawatt hour (MWh) by 0930 GMT.
The equivalent French contract added 13.1% to 285 euros/MWh.
Supply from German wind turbines is forecast fall by 3.8 gigawatts (GW) to 3.9 GW on Wednesday, while French wind power generation is expected to drop 1.9 GW to 870 megawatts (MW), Refinitiv data showed.
Solar power supply in Germany is expected to add 1.1 GW to 6.5 GW, the data showed.
French nuclear availability was unchanged at 51% of total capacity.
French Finance Minister Bruno Le Maire said the government’s priority was to restart EDF’s nuclear reactors as soon as possible.
Power demand in Germany is forecast to dip 630 MW to 58.8 GW and consumption in France is set to gain 1 GW to 46.7 GW, the data showed.
The German baseload power contract for 2023 delivery rose 1.8% to 434.50 euros/MWh, tracking higher gas costs.
The equivalent French position was untraded after closing at 535 euros.
European CO2 allowances for December 2022 expiry rose 0.2% to 66.87 euros a tonne.
Germany will make it through the winter if citizens, companies and policymakers continue to adapt to the country’s changed energy situation, Chancellor Olaf Scholz said. (Reporting by Forrest Crellin; editing by Barbara Lewis)
