Europe electricity prices soar as tough winter looms
European electricity prices soared to new records, presaging a bitter winter as Russia's invasion of Ukraine inflicts economic pain across the continent.
The year-ahead contract for German electricity reached 995 euros ($995) per megawatt hours while the French equivalent surged past 1,100 euros -- a more than tenfold increase in both countries from last year.
In Britain, energy regulator Ofgem said it would increase the electricity and gas price cap almost twofold from October 1 to an average £3,549 ($4,197) per year.
Ofgem blamed the increase on the spike in global wholesale gas prices after the lifting of Covid restrictions and Russian curbs on supplies.
The Czech Republic, which holds the rotating European Union presidency, announced that it would convene an EU energy crisis summit "at the earliest possible date".
Energy prices have soared in Europe as Russia has slashed natural gas supplies to the continent, with fears of more drastic cuts in the winter amid tensions between Moscow and the West over the war.
One-fifth of European electricity is generated by gas-fired power plants, so drops in supply inevitably lead to higher prices.
