Power for delivery next week in Germany, Europe’s biggest energy market, fell the most this month as solar generation is forecast to rise and more gas and coal plants become available.
Week-ahead baseload electricity, for delivery around the clock, dropped as much as 1.6 percent, the biggest slide since June 30, according to broker data compiled by Bloomberg. Available generation capacity will increase 0.4 percent through July 16 while maximum power output from the sun will rise 45 percent through July 16, according to European Energy Exchange AG and Bloomberg’s solar model.
Germany wants to get as much as 45 percent of its electricity supply from green sources such as wind and solar by 2025, compared with about 31 percent in this year’s first half. Renewable energy was the largest contributor to the nation’s power generation in the period, according to Fraunhofer ISE research institute data.
The German next-week electricity contract fell as low as 30.75 euros ($41.84) a megawatt-hour and traded at 31.25 euros as of 5:48 p.m. Berlin time.
Total available generation capacity in the nation will increase to 51,197 megawatts on July 16 from 51,019 megawatts today, according to EEX. Solar generation will climb as high as 18,765 megawatts on July 16 from today’s high of 12,920 megawatts, Bloomberg’s model shows.
German power usage is forecast to average 58.9 gigawatts through July 20, compared to a previous forecast of 59.6 gigawatts, according to Bloomberg’s demand model.
German electricity for August was unchanged at 29.60 euros a megawatt-hour, reversing a drop to a record-low 29.40 euros earlier today, broker data compiled by Bloomberg showed.