Electricity Prices in Europe Fall on Soaring Germany's Wind Power Generation

Due to the surge in wind power generation in Germany and the decline in power demand, the spot prices of electricity in Europe fell. The data shows that the prices of electricity delivered in Germany on Friday dropped by 40.3% to 80 euros per megawatt hour, while the prices of electricity delivered in France fell by 7.6% to 134 euros per megawatt hour.

Germany’s wind power generation is expected to more than double on Friday from Thursday, reaching 36 gigawatts, Refinitiv Eikon data showed. France's wind power generation is expected to rise to 66 GW on Friday from 57 GW on Thursday. Analysts at Refinitiv said in a note that German wind power generation will grow strongly throughout the day, with significant exports across the European region.

In addition, Germany's electricity consumption is expected to decline by 1.8 GW to 58.5 GW due to the warmer climate, and France's electricity consumption is also expected to decline by 4.7 GW to 56.4 GW. At the same time, liquefied natural gas shipments to Europe are still abundant and have also pushed down European electricity prices. A batch of liquefied natural gas cargoes arrived at the Brunsbuettel LNG floating terminal in Germany on Wednesday, equivalent to about 900 million kilowatt-hours of electricity.