Extreme heat and drought lead to supply disruption
Extreme heat and drought squeezed nuclear, gas and coal power supply across Europe during this summer’s heatwaves. Nuclear output was curtailed in France, Hungary, Romania and Switzerland. Five UK gas plants cut 2.5 GW during June’s heat and low water levels on the Po river threatened Italy’s gas generation. Drought-related cooling constraints forced coal plants in Poland and Serbia to reduce output.
Hydropower also struggled. In July, seven of the EU’s eight largest top producers, which together account for more than 90% of EU hydro generation, recorded output below their five-year averages.
“Solar is already doing heavy lifting during heatwaves, but the real challenge starts after sundown. In the evening, when cooling demand is still high, the grid is most exposed to expensive gas-fired power,” says Chris Rosslowe.
Heatwave impacts lead to spiking prices
During the late-June and early-July heatwaves, average daily prices were 119% higher in Hungary, 44% in France, 13% in Italy and 7% in Spain than on comparable days in the preceding weeks. In several markets, power prices also spiked in the early evening, reaching some of their highest levels in years.