Italy Turns to French Nuclear Power to Cool Heat Wave

(Bloomberg) -- Italy has increased imports of electricity from neighboring countries as soaring temperatures boost demand for cooling.

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Demand for air-conditioning — already among the highest in Europe — increased further as temperatures soared above 40C over the past week. That’s forced the Italian grid to fall back on both imports and traditional thermal capacity.

At peak times, Italy is importing as much as 3.5 gigawatts of electricity from France, the equivalent to the output of one nuclear power plant.

Italy’s day-ahead power price has averaged €111 per megawatt-hour in July, about the same as last year despite declines in the wider energy market. That’s more than double the equivalent contract in neighboring France.

Italian consumers are set for higher bills, especially after regulatory changes mean that from July many are no longer eligible for cheaper protected electricity tariffs.

The relative lack of solar and wind generation is helping to keep Italian prices high. However, that’s changing, with renewables capacity overtaking fossil fuels for the first time earlier this year.

--With assistance from Giovanni Salzano.

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