ANALYSIS: European power supply in better shape than 2022, but still lacks flexibility

European power markets have become more resilient to external supply shocks and are set to enter the summer 2026 season in much better shape than 2022, when Russia’s invasion of Ukraine triggered price spikes due to the loss of Russian gas. While the price impact of the current Middle East crisis may echo events in 2022, its direct impact on European electricity is different, even if the risk ofEuropean power markets have become more resilient to external supply shocks and are set to enter the summer 2026 season in much better shape than 2022, when Russia’s invasion of Ukraine triggered price spikes due to the loss of Russian gas. While the price impact of the current Middle East crisis may echo events in 2022, its direct impact on European electricity is different, even if the risk ofRead More