* Nordic spot price for Friday seen down to 37.7 euros/MWh
* Front-quarter falls on wetter weather forecast
OSLO, Oct 11 Nordic spot power prices were
expected to fall on higher wind output and lower export capacity
to Germany, analysts at Point Carbon said on Thursday.
The Nordic average day-ahead power price for
Friday delivery is expected to ease to 37.7 euros per MWh,
compared with 39 euros on Thursday, Point Carbon predicted.
"Higher wind power output will have a bearish impact on
prices," a Point Carbon analyst said.
Combined wind power output in Denmark and Sweden was
forecast to strengthen by hourly average of 910 MW from Thursday
to Friday, while consumption was seen to fall by 150 MW ahead of
the weekend, even though temperatures continued to drop.
Spot price in Germany, which trades power with the Nordic
market, came in at 52.7 euros a MWh for Thursday, but was
expected to fall to 49.5 euros on Friday, Point Carbon said.
Price difference makes profitable to export cheaper hydro
power from the Nordic market to Germany, which relies mostly on
fossil fuels to generate power.
Nordic forward prices fell on Thursday morning for the
second session in a row, after the latest weather forecast
showed more rain ahead, traders said.
The contract for baseload (24 hours) power delivery in the
first quarter fell by 65 cents to 41.70 euros per MWh
by 0845 GMT, compared with Wednesday's close.
"The market is down due to wetter weather forecast," a
Norway-based trader said.
"If we get more wet weather next week it might fall further,
but I don't think it would go much below 40 euros," he added.
The latest weather forecasts for the next 15 days showed
more rain than previously seen, with combined precipitation
levels in Norway and Sweden returning to normal.
The Nordic region relies on hydroelectric power for more
than 50 percent of its power generation, and change in
precipitation is an important factor in setting prices.
The Nordic contract for baseload power delivery next year
eased by 40 cents to 37.70 euros per MWh, in step with
falling coal and carbon prices.
Coal API2 2013 futures were down by 75 cents to
$96 a tonne, while European carbon prices were almost
unchanged at 7.70 euros a tonne.
Brent crude oil rose by $1 to $115.20 per barrel by
0818 GMT, lifted by escalating tension between Syria and Turkey,
maintenance in the North Sea and a supply crunch in oil
(Reporting by Nerijus Adomaitis; editing by James Jukwey)