Energy crunch in Europe? Energy prices have been breaking one record after another for several weeks. Where does the extreme rise in electricity, coal and gas prices come from? Is the price rally a short-term outlier or a sign of higher energy prices also in the future? In this article, we explain main global and regional causes of the current price developments on the energy markets.
The offshore wind auction clears subsidy free. The new federal government will set the course for climate policy in Germany. Preparations for the start of national emissions trading are in full swing. New record prices for gas & co. have been set on the short-term and futures markets.
So far in 2021, prices on the energy markets have reached record highs. Coal and gas prices in particular have risen sharply, reaching their highest levels in over a decade. These developments have partly led to a backswitch from gas to coal-fired power generation and thus, in conjunction with rising CO2 prices, also to high electricity prices. In the following, we clarify the underlying processes.
In August, the results of the third round of innovation tenders have been published. The federal government receives record revenues on emissions trading. The starting signal was given for the first tender round for fast charging stations. New record prices on both short-term and futures markets.
Life is increasingly determined by various global trends. The energy industry has also been undergoing a transformation for some time. One upcoming challenge is decarbonisation, while at the same time decentralisation is taking place and digitalisation is steadily increasing. These developments are taking place with varying degrees of dynamism and occasionally come to a standstill.
The scenario framework of the transmission system operators for gas (FNB Gas) for the 2022 – 2032 Network Development Plan contains some interesting figures. For example, there were over 100 project notifications for hydrogen projects in Germany. With almost 25 GW of electrolysis capacity by 2030, these figures exceed the plans of the German national hydrogen strategy many times over.
Emission reductions alone are not enough to achieve ambitious climate goals. Therefore, negative emissions and carbon removal are increasingly being discussed as possible additional climate protection measures. In this guest article, Simon Göß from cr.hub explains what is behind the terms negative emissions and carbon removal. After analysing five global scenarios in relation to negative emissions, Simon Göß explains the implications for policy and highlights some private sector initiatives.
The EU Commission has presented a new legislative package with more ambitious targets. The results of the coal and solar tenders were announced. While the PV tenders were significantly oversubscribed, the bidding volume at the coal tenders was not as high. New records were set on both the short-term and forward markets.