NEWS

French Gas-fired Generation Pushed to Sidelines

05/01/2024

2023’s French gas-fired generation reached its lowest in years due to increased production in renewable output, higher nuclear generation and reduced power demand. The average price for the Pan-European Gas (PEG) market’s everyday contract was €38.73/MWh in 2023, compared to €72.86/MWh at the end of 2022. The day-ahead clean spark spreads for 55pc efficiency in French electricity generation marking a notable decrease from the average observed in 2022.

Meanwhile, nuclear generation increased by 36.5GW. Following the START 2025 initiative, nuclear plants downtime was reduced by a third compared to 2022.

Renewable power generation further suppressed gas-fired generation down, with the highest wind generation output recorded throughout most of the year. Solar photovoltaic (PV) generation also reached its peak with capacity additions of 2.2GW installed.

The power demand was at its lowest in five years, possibly attributed to the updated French energy preservation road-map for all sectors published in 2023.