Given the new rise in wholesale electricity prices, the Government wants to reassure.
The rise in electricity prices in 2023 will be “contained”, says Bruno Le Maire, Minister of Economy and Finance, this Saturday.
various causes
Wholesale electricity prices for 2023 in Germany and France broke new records on friday respectively at 850 euros and more than 1000 euros per megawatt hour (MWh). A year ago, the prices for these two countries were around 85 euros/MWh.
There are several reasons behind the price explosion, starting with the depletion of Russian gas flows to Europe since the start of the war in Ukraine: many thermal power plants use gas to generate electricity. As gas becomes more scarce, its price is also at record levels.
In France, only 24 of EDF’s 56 nuclear reactors they are operating at the moment, in particular due to a corrosion problem, which reduces French electricity production to a historically low level and mechanically increases prices.
Source: BFM TV
