The price of electricity in Europe showed further movement this week. On Sunday it is expected to drop to 174.8 euros per megawatt hour, dipping under 200 euros again after a notable Saturday where the figure reached around 189 euros per MWh. This result comes from the wholesale market, commonly known as the pool, and reflects the latest auction outcomes reported on Friday by the Iberian Market Operator and the Iberian Gas Market. Adjustments for the gas price cap beneficiaries are included in this calculation, compensating power plants that rely on this fuel. Without this discount, the price would stand at 181.55 euros per MWh. In practical terms, this data means households and businesses may see reductions in their electricity bills in the near term, depending on how the gas adjustments are applied across regions.
The decision to implement the gas-cap compensation illustrates a coordinated effort to stabilize energy costs while supporting power producers who require the gas input. Authorities note that the stated 174.8 euros per MWh is the final price after adjustments, and it represents a softer level than the 181.55 euros per MWh figure would have been without the cap. The data is provided by the Iberian Electricity Market Operator and Iberian Gas Market, and it highlights how policy levers interact with market dynamics to influence consumer prices over the course of the week.
In parallel, the Spanish Prime Minister, Pedro Sánchez, voiced confidence that progress toward a broader agreement is feasible, especially in the context of continued dialogue with French President Emmanuel Macron regarding the Midcat gas pipeline project. Both leaders are expected to discuss this energy link while also consulting with Portuguese Prime Minister António Costa later in Paris. The conversations are framed as part of an ongoing effort to improve cross-border energy infrastructure and resilience across the Iberian Peninsula and its neighbors.
Beyond the Iberian market developments, Germany has announced a substantial macro program aimed at easing electricity bills, a package worth hundreds of billions of euros. The proposed measures come as Berlin seeks to reassure European partners about solidarity and to avoid a subsidy race that might disproportionately favor certain countries and widen economic gaps within the bloc. While the scope of the plan is still under discussion, policymakers stress that stability in energy costs remains a shared priority across the European Union.
Spain, Italy, and France are all seeing price movements that reflect both local factors and shared European energy dynamics. In Italy, electricity prices are expected to fall from 293.11 euros per MWh to 208.06 euros per MWh this Saturday. France is projected to see prices near 168.46 euros per MWh, while Germany and the United Kingdom report prices around 146.72 euros and 114.98 euros per MWh, respectively. Portugal’s auction results place the average price slightly above Spain’s within their shared market zone, at around 115.67 euros per MWh. When the wholesale market prices are considered without the gas-cap adjustments, the average drops further to roughly 114.23 euros per MWh.
The timing of price highs and lows across the day shows a pattern: the most expensive periods tend to occur between 22:00 and 23:00, with prices peaking near 214.63 euros per MWh. Conversely, the cheapest hours are typically between 16:00 and 17:00, when prices can hover around 75 euros per MWh. It is important to note that these hourly patterns are subject to the same gas-adjustment variables and system-wide costs, which can shift the final consumer price in either direction depending on volume needs and network conditions.
To Sunday’s totals, the adjustment for gas-powered plants remains a factor. The final consumer price is forecast to be 174.8 euros per MWh after this adjustment, a figure that sits roughly 23 percent below the level recorded a year earlier. This indicates that the combination of wholesale market dynamics and policy support is helping to ease household expenditures, even as the broader energy market continues to respond to supply and demand shifts, cross-border trading arrangements, and ongoing infrastructure discussions around Midcat and related projects.