In 2024, the EU’s electricity sector continued its path toward decarbonization, with renewable and nuclear energy sources together accounting for 72% of electricity generation. The increased share of these clean sources helped push average wholesale electricity prices in the EU down to €82/MWh in 2024, compared with a peak of €227/MWh in 2022, according to Eurelectric’s Power Barometer 2025.

Despite this decline, regional price spikes and market volatility remain. To stabilize the market, Europe must accelerate electrification and invest in grids, storage, and flexibility to build a reliable energy system that ensures affordable electricity for all consumers.

Some regions—particularly in Southeastern Europe—experienced persistent price peaks. On average, prices exceeded €150/MWh only 6.9% of the time in 2024, compared with 69% in 2022. At the same time, prices were negative 3.6% of the time, highlighting that periods of oversupply continue to pose challenges.

“To address market volatility, we need to invest in grids, storage, and flexibility. At the same time, weak demand remains an obstacle for long-term investments,” said Kristian Ruby, Secretary General of Eurelectric. Electricity demand grew only 1% in 2024, still 7% below 2021 levels, indicating that the EU is still recovering from the energy crisis.

Promoting electrification will be crucial to achieving the 32% target for 2030 set under the Clean Industrial Deal. Eurelectric urges policymakers to accelerate electrification across all sectors—including transport, heating, and industry—while also providing effective investment signals for grid solutions and flexibility measures to balance the system.