European Next-Day Power Rises as Freezing Weather Boosts Demand
Day-ahead power contracts in Germany and France climbed amid forecasts of colder-than-average temperatures that may boost demand for heating.
Baseload German next-day electricity, for supplies delivered around the clock, rose as much as 4 euros, or 8.2 percent, to 52.50 euros ($70.36) a megawatt-hour and traded at 52.25 euros as of 10:16 a.m. Berlin time, according to broker data compiled by Bloomberg. French day-ahead power traded at 60 euros after rising 5.25 euros, or 9.3 percent, to 61.75 euros.
Temperatures in Frankfurt are forecast to fall to minus 7.5 degrees Celsius (19 Fahrenheit) tomorrow versus a 10-year seasonal average of zero degrees, according to CustomWeather Inc. data on Bloomberg. In Paris, minimum temperatures will reach minus 4.9 degrees, compared with an average of 2 degrees.
Wind output in Germany is predicted to rise to about 5 gigawatts tomorrow, Meteologica SA, a Madrid-based weather forecaster, said on its website. That compares with an average level of 4.9 gigawatts, according to data from Leipzig, Germany- based European Energy Exchange AG on Bloomberg.
Demand in France, Europe’s second-biggest power market, may reach 86,700 megawatts tomorrow, according to a forecast on the website of Reseau de Transport d’Electricite, the network operator. That compares with 81,588 megawatts today.
Next-week power in France and Germany gained as sub- freezing weather is forecast to continue. Week-ahead power in Germany rose 4 percent to 43.25 euros while the French contract climbed as much as 4.8 percent to 49 euros, broker data show.
To contact the reporter on this story: Rachel Morison in London at firstname.lastname@example.org
To contact the editor responsible for this story: Lars Paulsson at email@example.com