Prices soar during an energy crisis
On December 12, Germany experienced an unprecedented surge in electricity prices, reaching up to 900 euros per megawatt hour on the intraday market, a record for 18 years. In question, an episode of Dunkelflaute: little wind, little sun, and therefore slow renewable production. Usually, gas or coal plants are activated to fill these gaps. But this time, some of these installations remained idle despite need, triggering an investigation by the Federal Network Agency into possible market manipulation.
European impacts that annoy everyone
This crisis has not only affected Germany. With massive electricity imports from neighboring countries like Sweden and Norway, prices have soared everywhere. Swedish Energy Minister Ebba Busch directly pointed the finger at German energy policy, once again criticizing the exit from nuclear power, which she considers responsible for price instability. In Norway, political leaders have even raised the idea of limiting electricity exchanges to protect their consumers. These tensions show that the interconnection of European networks, supposed to smooth out variations, can also amplify problems during critical periods. The question also arises regularly in France, where prices remain high because of these devices, even though we produce relatively cheap electricity.
The limits of the German energy model
Germany relies on renewable energies to meet more than half of its electricity needs. Problem: these sources are intermittent. In winter, wind and sun are not always enough, especially in the event of Dunkelflaute. The country’s energy transition, which is based on the gradual abandonment of coal and nuclear power, therefore relies on fossil power plants and imports to fill the gaps. Except that we see here, these temporary solutions show their limits. Result: increased dependence on European neighbors, sometimes fueled by energies that Germany seeks to eliminate from its own energy mix, such as nuclear or coal, which is therefore completely absurd.
What solutions to avoid a new crisis?
Faced with these problems, the Federal Network Agency insists on the urgency of investing in more flexible infrastructures: energy storage, hydrogen electrolysers, or even new power plants capable of operating with renewable energies. These projects could mitigate future price increases, but require time and massive investment. In the meantime, episodes like that of December 12 could recur, especially in winter. Pressure is also mounting from European neighbors, who are calling for better coordination to stabilize energy markets.
