Irish wholesale electricity prices fall by 35 per cent compared to June 2022

The price of wholesale electricity was 35 per cent lower in June 2023 when compared with June 2022. Irish wind farms provided a third of the island’s electricity over the first six months of 2023.

The average wholesale price of electricity in Ireland per megawatt-hour during June 2023 was €117.11, down from €181.84 the previous year. Reported by Met Éireann as the warmest June on record in Ireland, the continued hot weather spell in recent weeks meant that, at 20 per cent, the share of demand met by wind energy last month was down in comparison to June 2022.

Prices on days with the most wind power saw the average cost of a megawatt-hour of electricity fall even further to €106.98 per megawatt hour, rising to €134.97 on days when we relied almost entirely on fossil fuels.

Noel Cunniffe, CEO of Wind Energy Ireland, said: “The first half of the year has been strong for Irish wind farms which have helped to protect Irish families and businesses from the worst effects of relying on expensive imported gas.

“New wind farms, along with solar and battery projects, will be connecting before the end of 2023 but we really need to accelerate the delivery of onshore and offshore renewables if we are to reach our legally-binding carbon emissions reduction targets.”

Noel Cunniffe continued: “The reforms the Government is bringing forward to the planning system will help but a key priority must be resourcing. We need more people with the right skills in State agencies like An Bord Pleanála and the National Parks & Wildlife Service to help achieve our wind energy targets.

“The Government’s budget for 2024 will really be the last chance to provide the funds to resource the planning system to support Ireland’s Climate Action Plan objectives for 2030. The quicker that projects can clear the planning system, the sooner they can be built and start delivering clean electricity to power our homes, businesses and local communities.”

Noel Cunniffe, CEO of Wind Energy Ireland, concluded: “The fall in the average price of wholesale electricity in comparison to June 2022 is welcome news. However, average prices before the fossil fuel energy crisis were between €50 and €70 per megawatt-hour so there is still some way to go for consumers to see significant benefits.

“One other piece of good news from this month is that, as part of Ireland’s renewable energy mix, we are starting to see solar energy making a useful contribution over the summer and this is going to rise quickly as more solar farms are connected.”

The report also found that on 24 June, Irish wind farms met over half of Ireland’s electricity demand for that day.

The results of this report are based on EirGrid’s SCADA data compiled by MullanGrid and on market data provided by ElectroRoute.