Nordic forward prices slipped on Friday weighed down by wetter weather forecasts in the hydropower-dependent region and weaker carbon rates.
* Nordic front-quarter baseload power contract fell 0.35 euro to 42.05 euros per megawatt hour (MWh) as of 1130 GMT.
* Nordic front-year lost 0.25 euro to 37.75 euros/MWh.
* “The weather is a bit more wet which brings down the front end of the curve,” said Tor Reier Lilleholt, head of analysis at Wattsight AS, adding lower carbon emission rates and coal were also pressuring the prices.
* Nordic water reserves available 15 days ahead were seen at 6.5 terawatt hours (TWh) below normal, compared with 8 TWh below normal on Thursday.
* Later next week, more unsettled weather will likely establish and the region will receive near or above normal rain under increasing Atlantic low pressure activity, according to Georg Muller, a meteorologist at Refinitiv.
* European next-year coal prices fell $1.35 to $67.75 a tonne.
* Carbon front-year allowances eased 0.4 euro to 29.05 euros a tonne.
* “As we see a deficit in the Nordic hydro system we see room for stronger development in the Nordic spot prices as long as we see the very bullish fuel and SRMC coal and gas in the market,” Lilleholt said.
* The Nordic power price for next-day physical delivery , or system price, fell 1.42 euro to 39.09 euros per MWh at an auction on the Nord Pool exchange, which was above analysts’ expectation of 38.3 euros/MWh.