The strongest solar power generation in Germany since September sent intraday power prices in Germany, Belgium, and the Netherlands to below zero for the early Monday afternoon, in yet another spate of negative prices that undermine investment in renewable energy capacity.
With the strong German solar power output, the intraday prices for the hour from 1 p.m. to 2 p.m. plunged to minus -$18.55 (-17.73 euros) per megawatt-hour (MWh), per data from Epex Spot SE cited by Bloomberg.
The interconnected power systems in northwest Europe also led to negative intraday electricity prices in Belgium and the Netherlands on Monday.
Negative power prices, while beneficial for some consumers in some countries, generally discourage investments in new capacity as renewable power generators don’t profit from below-zero prices.
Last year, European wholesale electricity markets saw zero or negative power prices for the most hours on record, amid soaring renewable energy generation and a mismatch between supply and demand hours for solar power. This year, another record for most hours with negative prices is expected.
