New maximum limit in the electricity market: It will increase from 4,000 to 5,000 Euros

European regulations say that if Market price exceeds 60% of the specified maximum value “at least market time unit (hour) in a day inside a region individual auction or in several areas auction ends to increase Maximum price of 1,000 euros per megawatt hour in the 24 countries participating in the European market. And it happened this Wednesday, between 5-6 pm, when Estonia, Latvia and Lithuania reached 4,000 euros per megawatt hour.

Thus, the maximum limit in the electricity market will rise to 5,000 Euros per megawatt hour. From September 21, five weeks after the previous limit was exceeded. on his behalf, minimum price remains unchanged at -500 euros per megawatt-hour, a figure no country has come close to at the moment; although there are many Germany, France or Belgium They knew what it was like to have negative hourly average prices and even a day. negative average daily prices.

these limits affecting all European markets. The limit is not changed for the first time. Until April, the maximum price was 3,000 euros per megawatt hour.but on the 4th of that month, France touched that figure between 7 a.m. and 9 a.m., with prices of 2,712.99 and 2,987.78 euros per megawatt hour. Then, five weeks later, the limit increased to the current €4,000 per megawatt hour. Spain was one of the last countries to harmonize After being warned of this obligation by the European Commission, on 6 July last year it set the maximums and minimums for the European markets along with the rest of the electricity market. Until then, the maximum price achievable in the Spanish wholesale market was 180 Euros maximum and 0 Euros minimum per megawatt hour.

Possible changes

This may be the last increase in the limit, because european regulation may change in the coming months. instability It raises energy prices across the continent. committee that brought it all together European electricity market operators Released in May public consultation He asks whether it makes sense to continue the current approach of raising the maximum price by 1,000 euros when it exceeds 60% in all markets, and even suggests the possibility of lowering any maximum price after a period of stability. The resulting offer Voting by the ACER Organizing Committee for regulatory approval.

The French regulator CRE demanded that a few days later: Revision of the rule of automatic increase in electricity market price before October 2022 otherwise, suspend the systematic price increase mechanism “until it is changed”. The main reason for the indictment is that the previous increase in the border from 3,000 euros to 4,000 euros was part of the reason. suspense episode “extraordinary” in the French market with “unprecedented” price increases “the result of a very unlikely combination of different isolated and unrelated events”However, in his view this did not necessitate raising the price ceiling “for the smooth functioning of the European electricity market”. it is not “appropriate” to do so in the current “energy crisis” period.