End of Day Power Summary: Rising Energy Complex Lifts CWE Power

The CWE front-month power baseload contracts have remained in positive territory towards the end of Tuesday’s session amid price increases in the energy complex, with the German week ahead also supported by low wind forecasts towards the beginning of the week.

• France Base Power AUG 24 up 1.5% at 47.74 EUR/MWh
  
• Germany Base Power AUG 24 up 3.03% at 77.99 EUR/MWh
• Germany Base Power Week-Ahead up 1.1% at 82 EUR/MWh
• EUA DEC 24 up 4.2% at 77.99 EUR/MT
• TTF Gas AUG 24 up 0.7% at 33.73 EUR/MWh
• Rotterdam Coal AUG 24 down 0.4% at 105.4 USD/MT
• German wind over 8-11 July is anticipated between 0.980-3.25GW, or load factors of 2-5%, according to spot renewables.
• Maximum temperatures in Berlin are anticipated to rise to as high as around 28.8C on 11 July – which could raise cooling demand, ECMWF show.
• European carbon allowances for December 2024 are rallying to the highest since 20 June today, breaking the bearish cycle seen in the second half of June, with support from European equity markets, while natural gas markets also erased earlier losses to trade higher on the day.
• Germany's power sector has cut fossil-fuel output by 19% on the year in 1H 2024, compared to a 2.1% rise in renewables – which indicates that firms are mainly relying on cuts from fossil fuels to progress their energy transition goals, according to XM.
• EdF will switch to using existing technologies for the design of small modular nuclear reactors instead of developing its own innovations due to costs, the firm said, cited by Reuters.
• Swiss hydropower reserves rose quickly for another week by 9.8 percentage points to 63% of capacity as of 1 July, widening the surplus to the five-year average to the highest since mid February, as precipitation and snowmelt supported inflows into reserves, BFE data showed.
• European bidding zones – incl Norway and the UK – saw a total of 4,603 negative priced hours in the power market in the first six month of this year, up by 205% in the year according to ICIS.
• Poland’s hard coal sales in May edged down by around 5% on the month, with sales also falling compared to May 2023, data from Poland ARP show, cited by ISB news.
• Bosnian firm Lager Doo will build a 300MW wind farm project in Serbia, after having bought an 85% share in the project, according to Serbian Business Registers, cited by Bloomberg.