French Power Prices Surge as Fifth Heatwave Curtails Nuclear Output
Impact of Heatwaves on French Power Supply and Prices
Overview of the Current Heatwave
Aug 11 (Reuters) - A fifth heatwave this summer in France is expected to further curtail nuclear power production, lifting electricity prices for Wednesday as power supply drops while cooling demand rises.
Consequences of Successive Heatwaves
Successive heatwaves in Europe have seen temperatures rise to unprecedented levels, causing water shortages, wildfires, and deaths.
Electricity Prices and Nuclear Output
Day-Ahead Power Price Surge
French day-ahead power prices spiked 21.8% to €142.5 ($164.35)/megawatt hour by 0802 GMT, LSEG data showed.
Nuclear Output Limitations
French nuclear output is expected to be limited by 7.3 gigawatts at the midday peak on Wednesday, about 12% of the entire nuclear fleet, EDF data showed. France relies on nuclear power for about 70% of its energy production.
Temperature Projections and Power Demand
Rising Temperatures and Increased Demand
The heatwave, which is expected to push average temperatures in the country to 7.4 degrees Celsius above seasonal norms, will also increase power demand as people turn on fans and air conditioners, providing more pressure to prices, LSEG data showed.
Forecast for the Coming Days
The heat is expected to continue to increase on Thursday and Friday, reaching 35 C to 39 C in most regions, but could start to fall during the coming weekend, Meteo-France said.
Additional Information
($1 = 0.8668 euros)
(Reporting by Hugo Lhomedet and Forrest Crellin; Editing by Emelia Sithole-Matarise and Keith Weir)
