NORDIC POWER-Spot seen up on colder weather, higher exports
* Nordic spot price for Tues seen at 33.4 euros/MWh
* Drier and colder weather supports front-quarter prices
OSLO, Oct 8 (Reuters) - Nordic spot power prices were expected to rise on higher exports to Germany and colder weather boosting consumption, analysts said on Friday.
The Nordic average day-ahead power price
Tuesday delivery was seen to gain to 33.4 euros per megawatt-hour (MWh), compared with 31.2 euros on Friday, analysts at Point Carbon said.
"Increase in exports to Germany, higher consumption and falling hydro inflows are bullish factors, while stronger wind power output is to hold back Nordic prices," a Point Carbon analyst said.
Consumption in Norway, Sweden and Finland is expected to rise by 960 MW to 43,400 MW as temperatures were forecast to drop by 1.8 degrees Celsius.
The analyst said that he expected exports to Germany to rise and that he saw the German spot price for Tuesday firming to 46 euros per MWh, from 41.1 euros on Monday.
Combined wind power output in Denmark and Sweden was forecast to firm by an hourly average of 810 MW to 3,140 MW on Tuesday, a bearish factor.
The contract for baseload (24 hours) power delivery in the first quarter
rose by 70 cents to 42.70 euros per MWh by 0900 GMT, compared with Friday's close, gaining on the weather forecast.
"The weather forecast for the Nordic region is pretty bullish. We have a high pressure building from the north and cold spreading over the area," a Sweden-based trader said.
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.
Colder weather also boosts consumption because many households use electricity for heating.
The Nordic contract for baseload power delivery next year
was up by 30 cents to 38.15 euros per MWh, though traders said the rise was restricted by falling fuel markets. Coal API2 2013 futures
fell by 75 cents to $96.75 a tonne, while Brent crude slipped below $111 a barrel on Monday morning on concern that a fragile global economy could curb oil demand.
(Reporting by Nerijus Adomaitis; Editing by David Goodman)
Keywords: MARKETS NORDIC/ELECTRICITY