Electricity Exchange

Said area was involved in the termination of the 2002 joint venture agreement, completed through the subscription, in December 2010, of the framework agreement which sets out the termination time-frames and methods.
On completion of these operations, ACEA S.p.A. will fully own AceaElectrabel (and therefore AceaElectrabel Elettricità) as well as 100% of some thermoelectric and hydroelectric production plants.

The volume of electricity exchanged in 2010 (purchases/sales) on the Power Exchange recovered slightly (+1.6%), at around 318 TWh, following the heavy slump in 2009 (down 6.7%). Domestic production unit sales increased, helped by the reduction in imports. However, energy exchanges were still lower than 2005 levels.

By contrast, the supply of electricity consolidated the constant growth trend (+2.1%) recorded in the last five-year period, sustained in particular by domestic production units. Energy traded on the power exchange fell by 6.4%. Market liquidity fell to 62.6%, the lowest since 2007.

Liquidity on the DAM

Liquidity on the DAM

In 2010, the PUN (electricity purchase price on the IPEX), stood at 64.12 €/MWh, slightly up against 2009 (+0.6%). The essentially stable PUN appears to be particularly significant given the considerable increase in the prices of fuels on international markets (Brent dated +37%), which greatly reduced operators’ margins, with a spark spread at record lows. Lastly, the differential between the PUN and the price of the main European power exchanges fell below 20 €/MWh from around 24 €/MWh in 2009.

National Single Price

National single price

Price on the European Power Exchanges (arithmetic mean €/MWh)

European price

Source: Electricity Market Operator – Monthly trading report – December 2010.