Another day of muted activity in the power and carbon markets

The NWE power spot prices slightly rebounded yesterday, buoyed by forecasts of lower renewable generation, while an improving nuclear availability kept the French prices steady from the previous day. The day-ahead prices averaged 233.52€/MWh in Germany, France, Belgium and the Netherlands, +23.36€/MWh day-on-day.

The power forward prices posted limited gains on Tuesday with support from the slightly bullish gas market as the energy complex continued to digest the news and potential consequences of the new EU ban on Russian coal while the upcoming Easter holiday dampened the markets’ liquidity.

The carbon prices reversed and recouped most of Monday’s losses yesterday in another illiquid session possibly buoyed by the equities recovering from a bearish opening for a lack of stronger driver. Most market participants have now adopted a nervous wait-and-see approach with carbon allowances, fearing a strong Russian gas supply disruption and the subsequent surge in energy prices which would likely drive the emissions prices to months-low. The EUA Dec.22 closed the session at 79.01€/t, +1.06€/t from Monday’s settlement.