Cooling Weather Cuts Power Prices as Hormuz Tensions Push Gas Higher

Power — Short-term:
Dutch day-ahead baseload prices decreased in Week 35, averaging €121.3/MWh, down €23.1/MWh week-on-week. The decrease was driven primarily by cooler weather across Europe, which brought air conditioning-driven demand back down from the heatwave levels seen in prior weeks. Renewable generation also weighed on prices, with wind output high for the week despite the solar output being low. This downward pressure occurred despite the gas price ticking up slightly over the week, and despite several ongoing generation and interconnector outages: EEMS 3 in the Netherlands (356 MW, Fossil Gas) remained unavailable for the full week, Flémalle TH1 in Belgium (up to 870 MW, Fossil Gas) was out for most of the week before returning near the end of August, Rodenhuize 4 in Belgium (205 MW) stayed offline, and import capacity on the NO2–NL interconnector (Feda–Eemshaven) remained reduced from 600 MW to roughly 123 MW. The peak power price fell by €28.6/MWh week-on-week, with an average of €91.4/MWh. The decreases were most pronounced on Monday and Tuesday, with smaller declines through the rest of the week.