Electricity prices in France turn negative as renewable energy floods the grid

As Bloomberg’s model shows, daily energy consumption from Thursday to Sunday drops by an average of 6 gigawatts. Sunny and windy weather boosted solar and wind power production, prompting the grid operator to ask Electricite de France SA to shut down several nuclear power plants.

While more clean energy is needed to meet Europe’s climate goals, rising renewable energy production and a shortage of batteries mean reactors sometimes have to be shut down during periods of low demand. It is becoming more common on weekends in France, which gets about two-thirds of its electricity from its nuclear fleet, but also occurs in the Nordic region and Spain.

EDF has suspended work at its Golfech 2, Cruas 2 and Tricastin 1 nuclear power plants and plans to stop three others over the weekend. Some renewable energy producers will also have to cut production to avoid paying fees in the face of negative prices.

At the Epex Spot auction, French day-ahead power fell to -5.76 euros per megawatt hour, the lowest level in four years. The equivalent contract with Germany dropped to €7.64.