French spot electricity prices fell in the second quarter by an average 6.7 percent year-on-year due to a prolonged slide in oil and carbon prices, and despite a rise in demand, energy regulator CRE said on Tuesday.
The regulator said spot prices averaged around 26 euros ($29) per megawatt hour (MWh) during the quarter.
The year-ahead contract for 2017 delivery, however, rose during the same period by 23 percent to average 33.13 euros/MWh following the rebound in commodity prices and a French government decision to put in place a floor price on carbon emissions from January next year.
Traded volumes for the year-ahead contract also rose by 43 percent year-on-year during the quarter.
European electricity prices have tumbled in recent years due to the combined effects of efficient energy policies and rising supplies of power from renewable wind and solar sources.
CRE said prolonged cold weather during the quarter boosted demand for heating, pushing consumption up by 2.3 percent.
It added a corresponding 2.5 percent fall in power from nuclear sources led to an increase in supply from hydro and coal-fired power stations.
France depends on nuclear power for about 75 percent of its electricity needs.
Power from hydro stations rose by nearly 5 percent during the quarter, and by 6.8 percent from coal-fired plants despite a 39 percent fall coal power generation capacity, the regulator said.
Electricity from gas plants jumped 16.7 percent during the same quarter, boosting French gas consumption by 13 percent during the period. Charles Woodson JerseyShare This