German power for 2014, a benchmark for European electricity, fell from a four-week high as coal dropped for a fourth day.
Baseload German electricity, for delivery around the clock, declined 35 cents to 42.55 euros ($56.77) a megawatt-hour after rising to 43.05 euros earlier, the highest since Jan. 18, according to broker data compiled by Bloomberg. The 2014 contract sank to a record 40.25 euros on Feb. 1.
Gains probably won’t hold because the “market is still oversupplied, demand is still depressed and longer days will bring heavy contributions from solar power with a likely depressive effect on prices,” Paolo Coghe, a Paris-based analyst at Societe Generale SA, said yesterday by e-mail.
Thermal coal for delivery to Antwerp, Rotterdam or Amsterdam next year dropped as much as 0.6 percent to $98.90 a metric ton.
In France, Electricite de France SA said its 2013 nuclear outage program will be “busier” than last year and that 2013 will be marked by long outages. In Germany, RWE AG halted its 608-megawatt hard coal plant Gersteinwerk K2 after a boiler fault today, the company said on its transparency website. The unit is scheduled to resume operations Feb. 16.
The company will idle its two 410-megawatt gas-fired units F and G in Gersteinwerk from April to the beginning of October as solar generation damps demand for the plants in the summer months, a company spokesman said.