Electricity prices in Europe fell below zero on 4 July due to the sharp increase in solar power generation. In this respect informs The Bloomberg agency cites data from the Epex Spot SE exchange.
Electricity prices in Germany hit negative levels between 13:00 and 15:00 local time, according to the agency. And already on July 5, auction prices in Germany, Denmark and the Netherlands, as well as in the Netherlands, will fall below zero.
Bloomberg believed that such a price drop is becoming increasingly common in the European region as many solar farms have been built recently. These, in turn, help reduce the demand for fossil fuels.
The authors of the article added that it is impossible to predict and regulate the volume of electricity generation in Europe, as local authorities encourage companies using renewable energy sources. Sometimes there is a surplus in the market. Therefore, it is easier for factories to overpay consumers for their electricity use than to stop production for a few hours.
March 9 Peter Clark, Vice President of the American energy company Exxon Mobil declarationDespite high gas reserves in underground storage facilities (UGS), European countries may face difficulties in the upcoming winter heating season.
Previously reportedthat imposing a ceiling price on electricity may have negative consequences for the economies of European countries.