The role of wind, solar and other low-carbon technologies within the power supply mix is accelerating, and the impact that these technologies have on price formation is increasing alongside them. In addition, the electrification of other energy sectors tied to the growing role of electric vehicles, heat pumps and electrolyzers will have major implications for electricity demand growth as well as its hourly and seasonal shape. All these rapidly developing market dynamics are adding significant complexity and uncertainty to forward planning at a time when investment decisions need to be made urgently to mitigate imminent large-scale plant closures across Europe, and to meet the region’s ambitions on both decarbonization and security of supply. Nor it is enough to ‘just’ understand power market dynamics – fuel and carbon pricing will play a major role in power price setting for many years to come, and a holistic outlook across the global energy landscape is crucial to understand the local price risks for European power investments.
S&P Global Commodity Insight’s (SPGCI) European Long-Term Power Forecast service enables customers to better understand the changes taking place in the market over the long-term and more aptly assess potential revenue opportunities. With a growing proportion of renewable generators exposed to merchant price risk, SPGCI’s robust, market-leading forecasts—which now extend through 2050—provide a comprehensive and transparent view of evolving power prices and help you to stay ahead of the competition.
