2024 Market Monitoring Report
Electricity from renewable energy sources (RES) reached record heights surpassing and replacing fossil fuels. The facts in this ACER report attests to renewable growth driving the EU’s clean energy transition. Coal-fired and gas-fired power plants usage declined. Renewables rose to a record 45% of overall electricity generation. Wind and solar are powering this growth in renewables generation.
- Big renewable capacity additions reduce the need for fossils. Renewables account for more than half of the overall installed capacity for the first time, with wind and solar contributing the most. For conventional power plants, the installed capacity remained stable.
- Electricity demand fell significantly, playing a key role in cutting Europe’s reliance on fossil fuel.
- The fall in gas prices led to lower electricity wholesale prices, but remain higher and more volatile than before the energy crisis. Imbalance- and intra-day prices followed the trends in the day-ahead market.
- The EU faced record negative wholesale prices due to the speeding up of renewable growth to meet sustainability goals.
- Further interconnectivity and enhanced EU electricity market integration is still needed including tackling barriers to cross-zonal trade and reinforcing the EU network.
Highlights
Report
The ACER report on key developments in the electricity wholesale markets presents the main results of monitoring the EU electricity wholesale market in 2023 and recommends further actions to foster its integration. It also presents some data on the Energy Community region.