Electricity prices in Europe jump 6 times their value after the energy crisis
Electricity prices in Europe jumped on Monday to a new record as natural gas prices continued to rise, deepening an energy crisis that threatens to plunge the region into a severe economic recession.
According to Bloomberg report, electricity prices for the next year in Germany rose by 3.7% to 477.50 euros ($487) per megawatt-hour on the European Energy Exchange.
Bloomberg noted that this increase is nearly 6 times what the price of electricity was at this time last year, with the price doubling in the past two months only.
The electricity market in Europe was moved by concerns about whether limited gas supplies in Europe would be able to generate enough electricity for this winter, especially after it was confirmed that the French nuclear capacity had significantly decreased, which limited the possibility of exporting energy from France in the months coming.
Energy prices in Germany and Britain also set records, Monday, and this is an indication of the high consumption due to air conditioners, with heat waves and droughts on the continent that have exhausted its infrastructure in the short term.
The rise in electricity prices causes the prices of household bills to rise in addition to everything from food to glass manufacturing plants and others, which increases pressure on the final consumer.
