European power purchase agreement prices rise in September

Key points

Pexapark’s EURO Composite Index increased by 5% in September following higher forward electricity and gas costs.

Great Britain registered the highest national increase at 10.9%, while Spain and Portugal saw price drops.

Contracting activity rebounded after the summer period, with corporate buyers accounting for most of the announced capacity.

What happened

According to pv magazine, Swiss consultancy Pexapark reported that its EURO Composite Index grew by 5% during September. The upward trend was primarily supported by higher forward electricity rates and increasing gas prices across the continent.

Great Britain saw the steepest monthly rise at 10.9%. Italy and Poland both experienced a 6.9% increase, while the Nordic nations and the Netherlands registered growths of 4.3% and 4.1% respectively. Conversely, the Iberian Peninsula recorded declines, with Spanish values dropping by 3.5% and Portuguese figures decreasing by 1.4%.

Market activity

Transaction volumes rebounded following a typical summer slowdown. Disclosed agreements reached 25 contracts representing about 1.2 GW of capacity, up from 14 deals totaling 335 MW in August. Corporate off-takers drove the majority of this activity, securing roughly 1.1 GW across 21 agreements.

Flexible power arrangements and hybrid structures also gained traction among industrial consumers seeking reliable supply options through storage integration and risk-hedging mechanisms.

Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.