AleaSoft Energy Forecasting found average electricity prices dropped across most major European markets during the third week of November.

The Spanish consultancy noted price decreases in the Belgian, British, Dutch, French, German, Portuguese and Spanish markets when compared to the week prior.

The exceptions were the Italian market, which had the highest average price of the week at €135.78 ($143.28)/MWh, and the Nordic market, which continued to have the lowest average price of the week at €54.58/MWh.

AleaSoft says the drop across most markets was largely down to increased wind energy production and came despite an increase in electricity demand and a rise in gas and CO2 emission allowance prices. In the case of the German market, which saw the largest percentage drop in weekly average price, an increase in solar energy production also contributed to the decline.

On Sunday November 24, a combination of high wind energy production and lower electricity demand led to prices below €14/MWh across most markets. The German market reached the lowest price on that day, at €3.97/MWh, for its lowest hourly price since May.

AleaSoft is predicting the fourth week of November will bring an increase in electricity prices across most markets, as wind production is projected to fall and electricity demand is expected to increase further.

Last week also saw solar energy production increase in Spain, alongside Germany, but drop in France, Italy and Portugal. During the fourth week of November, AleaSoft is predicting an increase in solar energy across the German, Italian and Spanish markets.