Power generation from renewable sources hit a new high in the third quarter of 2023, according to a new report from energy data analyst EnAppSys.
It showed that renewable power generation in the quarter increased by 12% compared to Q3 2022, marking the highest growth rate for any third quarter so far.
This was attributed primarily to high levels of wind generation, which totalled 95 terawatt hours (TWh) throughout the quarter and surpassed the 84TWh recorded in Q3 2022.
The report analysed key trends in the European electricity market in the period from 1 July to 30 September.
During Q3 2023 there was a sustained downturn in wholesale electricity prices, extending a downward trajectory that had its origins in the third quarter of 2022.
This downward trend was attributed primarily to falling gas prices and robust reserves of natural gas in the region in Q3 2022, exerting significant downward pressure on pricing dynamics.
Jean-Paul Harreman, director of EnAppSys (Montel Group), said: “This latest renewables record indicates that many European countries are moving to produce more of their electricity from clean energy sources.
“In Q3 2023, many countries saw an increase in wind generation compared to the third quarters in previous years.
“For example, Germany, the country with the largest wind fleet in the continent, saw a 20% increase in wind generation from Q3 2022.
“Solar generation also increased by 13% compared to Q3 2022, totalling 95.2TWh in Q3 2023.”
Power demand in Europe continued its downward trend from Q1 2023, with total generation of 627TWh 7% lower than Q3 2022.
It was also the lowest for any Q3 in recent years with demand across many markets dipping to levels as low as they were during covid.
Consequently, gas-fired generation decreased by 27% from Q3 2022 to 103TWh, marking the lowest level in recent quarters.
Jean-Paul Harreman said: “Demand destruction and high renewables were the main causes of the continued decline of coal and lignite generation.
“Furthermore, falling gas prices reversed the merit order position of coal and gas-fired assets in favour of gas-fired power.
“Conventional power generation was lower than in the previous year, despite the nuclear closures in Germany and Belgium.”
Renewables (including waste) were the biggest contributor to the European power mix in Q3 2023, producing 47.4% of total output.
Hydro (16.4%), wind (15.2%) and solar (11.9%) were the main drivers of renewable generation during the quarter.