Eamon Farhat of Bloomberg reports that power prices soared across Europe after a sharp dip in wind speeds. Farhat writes:
Power prices across Europe soared as a slump in wind generation forces nations to fire up plants running on more expensive fossil fuels.
The Polish grid PSE triggered a so-called state of emergency for its power market on Wednesday. Much of northwest Europe is experiencing warmer-than-average temperatures, but a high-pressure system has resulted in a sharp dip in wind speeds, leading to tight energy supplies.
While Europe has pushed to rapidly expand its capacity to generate wind and solar power, it still relies on costly hydrocarbons as a back up. […]
Slumping wind generation stoked demand for gas to produce electricity, supporting fuel prices earlier this week. […]
German intraday power prices rose to as high as €763.23 per megawatt-hour at 5 p.m., the highest since Sept. 5, according to data from Epex Spot SE. Day-ahead contracts that settled yesterday saw peak prices rise to their highest since 2022.
Slumping wind generation in the UK means power generation from gas is at its highest level since November 2023, according to data from Elexon.
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