Power & Renewables

Europe & Russia January 2019

Regional analysis & forecasts
Europe & Russia

The introduction of the Market Stability Reserve (MSR) by the EU on 1 January will be a major source of support for European carbon and electricity prices in the coming weeks. While demand is forecast to remain largely in line with seasonal averages this winter, high power prices also reflect underlying supply risks in the event of a cold snap. Beyond this winter, the appetite for coal use is expected to take a hit as carbon prices rise and cleaner policies take centre stage.

Tightening supplies...