Energy Crisis In Europe

In recent weeks, European power prices have spiraled to multi-year highs on a confluence of factors, ranging from extremely strong commodity and carbon prices to low wind output. What’s more, the record run in energy prices is not expected to end any time soon, with energy analysts warning market nervousness is likely to persist throughout the winter. In the U.K., where electricity bills are now the most expensive in Europe, power prices have soared amid the country’s high dependence on gas and renewables to generate electricity. Other supporting factors are the slowed delivery of piped natural gas from Russia, nuclear plant unavailability across the continent, and a reduced supply of EU emissions credits. British day-ahead electricity prices rose nearly 19% to reach 475 pounds or $656.50 on Wednesday.