Wholesale electricity prices for Wednesday evening have surged past €1,000 per megawatt-hour (MWh), driven by soaring temperatures and increased demand for cooling systems such as air conditioning.
Electricity on the Epex Spot exchange is set to cost €1,038.25 per MWh for delivery at 8:45 p.m. on Wednesday, marking its highest level since 2020.
The heatwave gripping Europe is the main factor behind this price hike. “Temperatures continue to rise, increasing the demand for cooling systems. This is putting more pressure on prices across Europe,” said Matthias Detremmerie, an energy broker at Elindus.
Prices are expected to climb even higher on Thursday due to increased consumption and low wind levels. Additional factors include pricier imports from France, where nuclear power plants are scaling back production due to high water temperatures in rivers.
The next few days could see consistently high wholesale electricity prices, Detremmerie warned.
Consumers with dynamic contracts — which follow wholesale market fluctuations and adjust prices every 15 minutes or hourly — are likely to feel the impact of these price spikes in their bills, just as they benefit when prices drop or turn negative.
