Based on the latest data published by the European Commission, EU electricity and gas markets demonstrated strong resilience and stability in the fourth quarter of 2024. Despite a seasonal increase in gas demand, energy supply remained secure, market integration continued, and the share of renewables increased, all while keeping prices in check.
The year 2024 marked a record high for renewables, which accounted for 47% of the EU power mix – a 93 TWh increase compared to the previous year. This was driven mainly by solar generation, which rose by 38 TWh (+19%), and hydropower, which increased by 43 TWh (+13%), supported by 59 GW of newly installed capacity.
At the same time, fossil fuel-based power generation declined significantly – coal-fired generation dropped by 27%, and gas-fired generation by 25%, contributing to lower CO₂ emissions. Wholesale electricity prices also continued to fall, with the European Power Benchmark averaging €74/MWh (down 22% year-on-year), and retail prices for households in EU capital cities falling by 7% (to €242/MWh).
Despite an 8% year-on-year increase in gas demand during Q4 due to cold weather, gas markets remained stable. Overall gas consumption in 2024 was still 20% lower than in 2021.
These figures confirm the effectiveness of the EU’s energy policy, which continues to support the transition to clean energy while maintaining energy security and price affordability for consumers.
