In the final week of January, electricity prices across various European markets saw a slight uptick compared to the latter part of the previous week. This resulted in an increase in weekly average prices for most major markets. Notably, the IPEX market in Italy and the MIBEL market, which encompasses Spain and Portugal, experienced significant price declines of 4.7%, 64%, and 73%, respectively. Conversely, the EPEX SPOT market in France recorded the most substantial percentage rise at 8.5%. Other markets analyzed noted increases ranging from 1.2% in Germany to 7.8% in Belgium.
During the week ending January 26, most markets reported weekly averages exceeding €110/MWh. The Portuguese and Spanish markets were notable exceptions, with averages of €17.25/MWh and €23.03/MWh, respectively. The Italian market achieved the highest weekly average at €140.74/MWh, while other analyzed markets reported prices between €111.50/MWh in France and €123.31/MWh in Germany.
On a daily basis, most markets recorded electricity prices above €90/MWh during this period, with the exception of the MIBEL market, which maintained daily prices below €40/MWh. On February 1, the Portuguese market hit its lowest daily average of the week at €1.04/MWh, marking its lowest price since April 9, 2024. In Spain, a daily price of €5.57/MWh was registered on January 31, representing the lowest level since May 24, 2025.
The Nord Pool market in Nordic countries, along with German, Belgian, Italian, and Dutch markets, saw some sessions where daily prices exceeded €130/MWh. In Italy specifically, daily prices surpassed €145/MWh during the initial days of that week, with Tuesday, January 27, recording a peak daily average of €150.97/MWh.
The increase in European electricity prices can be attributed to several factors: rising gas prices, heightened demand, and decreased solar energy production across many regions. In France, reduced wind energy production further contributed to this upward trend. However, lower demand levels in Spain and Portugal led to declines within the MIBEL market. Additionally, Portugal saw an increase in winds energy, while Spain maintained consistent wind output alongside higher hydroelectric generation. In contrast, Italy benefited from increased winds and solar generation, which helped lower prices.
Ahead of February’s first week, forecasts indicate a potential decrease in prices across most major European markets due to anticipated increases in winds and solar production, coupled with lower demand in certain areas. However, a reduction in winds output in Portugal is expected to exert upward pressure on prices within that specific market.
