Spain and Portugal lead Europe in negative power price hours as solar output hits a record
Midday solar surpluses and a late-June heat wave sent prices swinging between below zero and above 600 euros per megawatt-hour in the second quarter.
Spain and Portugal logged more hours of negative electricity prices than any other European markets in the second quarter of 2026, as record solar generation flooded their grids at midday, according to a report by energy market analysis firm Montel.
Spain recorded 596 hours of negative prices, followed by Portugal with 462, France with 370 and Greece with 317, Montel's European Power Market Outlook found. Nordic markets saw fewer. European solar output beat its previous record by nearly 20%, helped by long stretches of high pressure and sunshine.
Prices also spiked. During a late-June heat wave, Spanish daily and weekly prices repeatedly topped 100 euros ($112.30) per megawatt-hour, while German prices rose above 600 euros per megawatt-hour during evening peaks as the heat pushed up demand.
Montel said the swings expose a shortage of flexible resources. Some thermal power plants, storage operators and industrial users have stopped bidding at negative prices in day-ahead auctions, holding their capacity back for intraday and balancing markets, a shift that could increase volatility.
The report points to grid reinforcement, smaller bidding zones and faster curtailment as ways to manage the swings.
This brief is based on reporting by Pilar Sánchez Molina, published Oct. 6, 2026, in pv magazine. Read the original: https://www.pv-magazine.com/2026/10/06/spain-and-portugal-record-europes-highest-number-of-hours-with-negative-electricity-prices-in-q2/
This article was produced with the assistance of AI tools and reviewed by an editor before publication.
