Feb. 21 (Bloomberg) -- Nordic electricity for the next quarter reversed its decline amid rising prices for day-ahead power and carbon emissions permits.
The benchmark Nordic next-quarter contract rose 0.3 percent to 36.30 euros ($47.76) a megawatt-hour on Nasdaq OMX Group Inc.’s energy exchange in Oslo at 1:50 p.m., erasing an earlier drop of as much as 0.8 percent to 35.90 euros.
EU carbon permits for December advanced 2 percent to 5.09 euros, after earlier falling as much as 4 percent to 4.78 euros a metric ton on the ICE Futures Europe exchange in London. Emission prices can influence generation costs at coal- and gas-fed plants. German power for baseload delivery next quarter gained 0.3 percent to 37.35 euros a megawatt-hour, after dropping as much as 0.4 percent to 37.10 euros, according to broker data compiled by Bloomberg.
Nordic power for delivery around the clock tomorrow will cost 42.90 euros a megawatt-hour on average, following today’s auction on the Nord Pool Spot AS exchange in Oslo. That’s more than the financial contract for tomorrow on Nasdaq OMX, which closed at 43 euros. Forward contracts frequently track movements in prompt prices.
Temperatures in Norway will average minus 1.5 degrees Celsius (29 Fahrenheit) through March 3, up from an earlier forecast of minus 2.1 degrees, MetraWeather data using the ECMWF model show. Higher temperatures damp demand for electric heating.
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