Europe’s Negative Power Prices Undermine 2030 Clean Energy Goals

  • Excess solar and wind frequently push power prices below zero
  • Waning profitability risks slowing renewable expansion
On the sunniest or windiest days, electricity can flood the grid, causing prices to turn negative.Photographer: Krisztian Bocsi/Bloomberg
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Europe is on track to miss its 2030 targets for clean energy as increasingly frequent bouts of negative prices discourage investors from backing new projects, according to market analytics firm Aurora Energy.

European Union solar and wind capacity will rise to about 850 gigawatts by 2030, according to Aurora analysts, falling short of the goal for around 1,100 gigawatts set out by national energy and climate plans. Outdated subsidy schemes are partially to blame, they said.