Wholesale electricity prices in Hungary and Italy increased in the week to 20 September while demand weakened across Southeast Europe. At the same time, prices fell sharply in several western European markets, widening the regional spread. By Virtu.Energy
Italy and Hungary lead weekly day-ahead increases
Italy recorded the region’s highest weekly day-ahead average at €215.82/MWh, up 2.51% from the previous week. Hungary rose 2.69% to €182.08/MWh. Over the same period, Germany fell 16.71% to €135.25/MWh, leaving Hungarian power almost €47/MWh above the German average.
Demand and renewables move in opposite directions for supply
The divergence was not explained by consumption alone, as lower demand did not bring Central and Southeast European prices into line with western markets. Regional electricity demand fell 6.37%, while variable renewable generation declined 8%. That combination reduced the availability of low-cost power.
Cross-border flows also shifted during the week. Hungary increased net imports, while Romania’s import requirement rose sharply. These changes affected how supply and demand balanced across the region.
Uneven pricing across Serbia, Bulgaria and Romania
The price gap varied within Southeast Europe. Serbia averaged €151.46/MWh, down 2.72%, while Bulgaria fell 2.93% to €162.07/MWh. Romania was little changed at €177.36/MWh.
Exporters face different signals across regional boundaries
The week left exporters with different price signals on either side of the region. Hungary’s premium over Germany widened, indicating a larger differential versus its western benchmark. Italy remained the highest-priced destination among the markets covered.
By Virtu.Energy
