Analysis Energy
Electricity price rises despite record peak solar panels
Dutch solar panels reached a record peak in power generation this week. Despite this, the electricity price has almost doubled this week. In the oil market, the extension of the lockdown in France is causing unrest about the short-term demand for oil.
Electricity prices have risen sharply again this week. After a dip at the weekend with €27 per MWh on Saturday March 24,41, the price has steadily increased to €55,90 per MWh on Wednesday March 31. Analysts expect electricity prices to remain stable next week. Cold weather is forecast for the coming week with night frosts and temperatures barely reaching double digits during the day. Showers, predicted for early next week, will reduce solar energy. On the other hand, the increasing wind provides extra power from wind turbines. Prices on the EPEX spot listing are likely to remain between €50 and €60 per MWh, according to analysts. Due to the long Easter weekend, there will be less demand for electricity on Monday than on a normal weekday.
Good week for solar panels
Last week was an excellent week for solar panels. Tuesday 30 March is the highest peak in the production of solar power ever measured in the Netherlands. Just after 14 p.m., 00 gigawatts of solar energy were generated. A daily record for total production has not been broken. Before that, the number of sun hours in early spring was insufficient. That seems to be a possible explanation that the electricity price has risen in the week.
Thinking about energy transition
The program Creative Industries Fund NL invites coalitions of, among others, landowners, food producers, network managers and municipalities to work with designers on new strategic visions or design proposals for the transition of the current landscape. According to the organization, the production of renewable energy must be scaled up considerably in order to achieve the European climate targets. That lays a major claim on the Dutch landscape.
According to the incentive fund, this requires a more integrated approach. Linking different tasks and multifunctional land use can generate new insights. Ideas in this area can be submitted from April 1 to September 20. A maximum of 12 proposals will then be selected that qualify for a subsidy/co-financing of €30.000. There are 5 central design themes: cultural-historical production landscape, landscape-inclusive energy transition, production, storage and distribution of energy as system design, food production and local support.
Oil market remains stable
Brent oil's price fell from $65,07 on Monday to $63,57 a barrel on Wednesday. That was in anticipation of the OPEC+ meeting that took place yesterday (Thurs. 1 April). Few changes have been announced there. Interestingly, OPEC+ has revised down global demand for oil by 300.000 barrels per day. According to the latest estimates, the oil supply in the US is 900.000 barrels lower.
France's announcement to extend regional lockdown measures nationwide has sparked unrest over short-term demand for oil. Ample stocks of crude oil and oil distillates appear to be hovering above the market. Despite this, the oil price rose again yesterday to $64,65 per barrel. Today most international exchanges are closed for Good Friday.
The diesel price has risen a little bit this week. Last week the price dropped slightly below €100 per 100 litres. On Monday, the price rose to €101,73 per 100 liters. That has now subsided somewhat. Today Friday 2 April the price is €100,87 per 100 liters.
Jurphaas Lugtenburg
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