Electricity prices plunged deep into negative territory over the weekend

Electricity prices on European spot markets plunged deep below zero over the past weekend. Strong output from solar power plants and low weekend demand drove electricity prices down to hundreds of euros below zero. Belgium recorded the steepest fall, but prices also collapsed on the Czech market, dropping below -200 EUR/MWh.

The occurrence of negative electricity prices on spot markets has long been a phenomenon in Europe. In recent years, negative or zero prices have occurred ever more frequently, with last year being a record by far. On the Czech day-ahead market alone, a total of 314 hours with negative electricity prices were recorded last year (up 134 % year-on-year), along with 47 hours with zero electricity prices (up 113 % year-on-year).

Electricity prices fall to zero or even into negative territory primarily during periods of strong solar power generation. This year is no exception, with zero or negative prices concentrated in the hours around noon.