Power prices plunge negative in Western Europe
Earlier this month (2nd July), wholesale power prices went negative across the majority of Western Europe. This occurred on a Sunday, during the middle of the day, when demand was low and renewable penetration was high, mainly driven by solar. Negative prices in Netherlands, Germany and Austria reached -500€/MWh, the minimum price as per the European Union regulations. Although this is not a new phenomenon, the extent and length of wholesale negative pricing, as seen on this occasion, is becoming more frequent, highlighting the growing demand flex deficit across Western Europe.