Renewable energy demand in Europe surpassed 500 TWh in 2018, according to the statistics from the Association of Issuing Bodies (AIB).
The volume of 499 TWh is expected to increase by 10 TWh, when unreported German Q4 figures are included. This will push the demand for renewable electricity documented with Guarantees of Origin close to 510 TWh – representing 8 percent increase from 470 TWh in 2017.
The Netherlands, France, Switzerland and Italy show high demand for renewable electricity in 2018. The French market demand increased from 21 TWh to 33 TWh in 2018, while Italy sees record demand of 45 TWh compared to 41 TWh last year. Germany is in line to exceed 100 TWh for the first time.
Wholesale prices for GOs averaged around 1.30 €/MWh in 2018, while Nordic hydro GOs traded at 2.29 €/MWh. This indicates that the market is willing to pay higher prices even though demand did not grow quite as aggressively as in 2017.
Tom Lindberg, managing director of ECOHZ, said: “If the growth trend from the last five years continues, the GO-market will soon surpass one billion Euro.”
With demand for renewable power now exceeding 500 TWh, and forward prices set at around 1.30 €/MWh, the annual value of the market exceeds 650 MEUR.
Though hydropower is still the greatest source of renewable electricity, preferences are shifting towards alternative renewable sources, with wind power being the technology of choice.