Electricity prices in Europe are going negative – and that’s bad

The huge growth in renewable energy across Europe means electricity plants are generating more power than is needed, forcing them to pay energy firms to discharge it – effectively, selling at a negative price. On the face of it, this might seem like a good thing for cash-strapped households, but negative prices don’t necessarily bring down people’s electricity bills, and can also bring a host of downsides, including disrupting the business case for building more renewables.

The price of power is largely determined by the “day-ahead”…