Due to the lack of wind, Germany has settled on coal and gas: blue fuel is sold for more than $ 600

Windless weather forces German companies to increase the capacity of coal and gas generation. On February 6, its share in electricity production increased to almost 70%, and the month itself became a record for the use of fossil fuels, despite the fact that the cost of gas in Germany has already crossed the $600 mark.

On February 6, due to lack of wind, the share of gas and coal in electricity production in Germany reached 69.8%, while wind generation dropped to 19.3%. Such data is published by the Institute of Solar Energy Systems. Fraunhofer's.

By the month, coal and gas generation already exceed 60%, whereas in the previous months of the heating season they did not cross the 50% bar.

"Bezvetrie emphasizes that Europe's ambitions to decarbonize its energy system do not have sufficient reserves during periods of low production of renewable energy sources. Germany, in particular, has faced difficulties after it closed its last nuclear power plant in 2023. Grid operators in the country have already warned that coal—fired power plants may be required for a longer period in order to maintain electricity production," Bloomberg writes.

According to the Nord Pool exchange, the wholesale cost of electricity in Germany reached 219 euros per MWh during peak hours, and the daily average was 150 euros per MWh. The average for February is 140 euros, which is the highest since 2022, when the peak of the energy crisis was in Europe.

For Germany, the situation is worsened by the price of gas, which rose on February 6 on the German stock exchange to $ 611 per thousand cubic meters, according to EEX.

A decrease in stocks in storage facilities due to a colder winter and a halt in the transit of Russian gas through Ukraine, which affects neighboring countries, do not allow fuel to become cheaper.

Coal is not as expensive as gas. They trade at $ 106.5 per ton and there is enough fuel. However, power plants are required to buy emission quotas, and their price is above 80 euros per ton for the first time since December 2023.

As EADaily reported with reference to The Financial Times, discussions have begun in Europe about restoring Russian gas supplies. The publication noted, for example, that Hungarian and German officials support the idea of a deal on the Ukrainian conflict, as this will reduce gas prices in Europe.

"While the Eurocrats may only be talking about increasing Russian gas imports as part of a possible deal on Ukraine, such conversations have been going on in the European industry since supplies were cut off," ICIS analyst Tom Marzek-Manser wrote on X.

Over the past few years, Gazprom has reduced supplies to Europe by about five times due to sanctions and counter-sanctions. Europe partially compensated for the losses by importing LNG, but most of it was saved due to high prices. The average price of gas on German stock exchanges in the pre-crisis five-year period was $180.