Southeast Europe entered the second week of June with regional electricity demand rising while wholesale power prices declined. Total demand reached 15.85 TWh in Week 24, up 692.9 GWh or 4.6% from the previous week. Warmer weather and higher cooling needs supported stronger consumption. Despite the increase in demand, most day-ahead markets reported lower average prices.
Week 24 price movements in key markets
The price correction was broad-based across the region’s day-ahead markets. Serbia recorded the largest weekly drop, with the average price down 21.5% to €78.22/MWh. Bulgaria fell 7.2%, while Croatia decreased 7.3%. Romania (-4.7%) and Hungary (-4.3%) also posted declines, alongside Italy (-3.8%).
Greece was the only major market to see an increase in average day-ahead prices. Prices rose 2.6% to €91.53/MWh. Italy remained the region’s premium market at €123.17/MWh, despite a weekly fall of 3.8%. The changes reflected lower pricing across most trading areas during Week 24.
Renewable output growth offsets higher seasonal demand
The decline in wholesale prices coincided with continued growth in renewable generation. Variable renewable output increased to 3.64 TWh, up 518.6 GWh, or 16.6%, week on week. Wind generation rose by 308.4 GWh to 1.40 TWh. Solar output climbed by 210.2 GWh to 2.23 TWh.
The additional renewable supply was sufficient to counteract the upward price pressure that typically accompanies stronger seasonal demand and rising temperatures. With consumption increasing due to warmer conditions, renewable generation growth remained the key factor behind the overall price softness in Week 24.
Hydropower weakness increases thermal balancing role
Hydropower moved in the opposite direction from wind and solar during Week 24. Regional hydro production fell by 300.2 GWh, or 7.5%, to 3.70 TWh. With less hydro available, conventional generation took on a larger balancing function within the system.
Total thermal power output increased by 362.6 GWh, or 8.7%, reaching 4.52 TWh. Coal and lignite recorded the strongest rise, increasing by 24.4% to 2.14 TWh. This shift reflected operators compensating for reduced hydro availability as variable renewables expanded.
Implications for summer market conditions based on Week 24 structure
The Week 24 pattern showed softer wholesale prices alongside a generation mix that relied more on thermal balancing resources as hydropower weakened. Strong solar and wind output continued to support lower daytime pricing levels in the region’s market profile.
Tighter hydro conditions and higher evening demand were associated with thermal generation remaining closer to the margin, keeping upside price risks present even as renewable penetration increased through the period.