Electricity Prices, markets & analysis
The European wholesale electricity markets are developing quickly, with liquidity growing across the continent. Electricity professionals in this rapidly moving market need access to independent and reliable information to help them make decisions faster.
At ICIS, we provide expert coverage of the electricity markets in Europe, supplying readers with the latest over-the-counter price assessments and news, monthly analysis on power price drivers, plus, unrivalled information on the European renewable energy markets.
Our information is aimed at electricity professionals across Europe, providing them with all the prices and insights they need to trade wholesale power, buy and sell renewable energy certificates and analyse the latest developments.
Electricity Overview Transcript
The interesting thing about the European Electricity markets is that electricity can’t be stored so unlike other commodities, you don’t have the ability to put things in storage, and you don’t have those dynamics.
The grid has to balance the power market every minute of every hour of every day.
Another thing that’s making electricity really interesting right now is that it’s a key part of the renewable energy policy of the European Union. The European Union is relying on power to make up most of its renewable energy targets. And so gas-fired generation, coal-fired generation and hydro-generation is coming together with newer forms of renewable forms of generation such as wind and solar and the differences in weather make for very volatile pricing.
How we can help
Electricity news and market information products from ICIS
We offer the following regional Electricity analysis and news coverage to keep you informed of factors and developments affecting prices in the Electricity marketplace.
Price Reporting – More information about the price reports we publish on Electricity
Independent price assessments and market coverage by region
Price History – More information about the historical price data we publish on Electricity
Track historical price data
News & analysis
News & Analysis - News & market analysis specifically relating to Electricity
Breaking news of latest developments affecting the markets.
Insight and analysis of factors driving prices.
Electricity: Market overview
Persistently mild temperatures across most of Europe have left power consumption subdued and put pressure on the wholesale electricity prompt and near curves - a trend which is highly likely to continue for the remainder of Q1.
Nonetheless with the winter months not yet over, cold weather-related risk premium has proven difficult to erode completely among the monthly products, with some market participants still fearing a late cold snap.
On the supply side, margins remain fairly comfortable. In areas such as the UK and Germany, strong wind generation has given the market confidence that there should be enough supply to match any winter demand. Even France, which is particularly sensitive to changes in temperature, has strong nuclear availability to help ease the pressure. Natural gas prices have struggled to find any real strength as temperatures have largely remained above seasonal norms, while supply has also been fairly strong. This has added to the bearish outlook for power markets such as the Netherlands and the UK.
Meanwhile, there are few strong market signals for power curves, while liquidity has not been particularly high in some markets. The main topic of conversation is still related to carbon policies, with the market still waiting to learn the final details of EU ETS back-loading proposal.
Updated to mid-Jan 2014
News & analysis
Electricity news & analysis
ICIS price assessments are based on information gathered from a wide cross-section of the market, comprising consumers, producers, traders and distributors from more than 250 reporters world-wide. Confirmed deals, verified by both buyer and seller, provide the foundation of our price assessments.
Our in-depth market knowledge drives our specialist focus, as we recognise the importance of individual market dynamics and not a one-size-fits-all approach.
Over 25 years of reporting on key chemicals markets, including Electricity, has brought global recognition of our methodology as being unbiased, authoritative and rigorous in preserving our editorial integrity. Our global network of reporters in Houston, London, Singapore, Shanghai, Guangzhou, Mumbai, Perth and Moscow ensures unrivalled coverage of established and emerging markets.
European Daily Electricity Markets Methodology
European Power Price Drivers
Industrial & Commercial Energy Snapshot (electricity)
The financial value of electricity is established by two methods: 1.Price Assessments. ICIS assesses the market closing prices for a range of European power hubs on the day of publication, and publishes a price range for each delivery period on a number of liquid markets. This is known as the BID-OFFER RANGE, representing the highest buyer’s bid and the lowest seller’s offer at the relevant close of each market. 2.Indexation (Heren Index).
Indices are published for a variety of delivery periods and delivery points. Each Heren Index is a transaction-based price, calculated using the volume-weighted average of eligible transactions (trades) for the relevant delivery period reliably reported to ICIS.