The calendar year 2017 Base for electricity has seen this year its biggest loss in his trading period. Until January, 21st 2016 the contract has lost 14 % of its value.
The European electricity prices are falling. This development has been triggered especially by the global price developments of energy commodity prices. Hard coal and crude oil prices are the main price drivers. Since crude oil has reached a level lower than the psychological important price level of 30 USD per barrel, energy commodity prices have slipped. Hard coal markets show a falling trend since June 2015, when China has published their coal import volumes being much less in 2015 than in previous years. This downward trend is still active today. Additional fears came in to the market due to insecurities about the GDP growth in China.
The electricity contract 2017 base has lost starting from the first trading day with 26.57 EUR/MWh at the EEX within 15 trading days until yesterday almost 3.6 EUR/MWh. The absolute biggest loss has been seen in January 2013 where the electricity contract had lost 11.8 % starting from the price level of 48.04 EUR/MWh.
Should the current downward trend continue, it might be possible, that the contract will lose 5 EUR/MWh and almost 19 % of its value.