Key facts
- Extreme heatwaves are increasing electricity demand in Europe due to rising air conditioning use.
- Household AC ownership in the EU has roughly doubled since 2015.
- Electricity demand rose significantly in Germany, France, Italy, and Spain during recent heatwaves.
- Wholesale electricity prices surged across Europe, with Germany reaching over €200/MWh.
- Reduced nuclear and wind power generation contributed to tighter supply and higher prices.
- Solar power is seen as a key solution to meet daytime cooling demand.
Europe's electricity grids are facing unprecedented strain as extreme heatwaves drive a significant increase in demand for cooling, particularly air conditioning. While AC ownership is less common in Europe than in other regions, it is rapidly growing, with household ownership doubling since 2015 and sales increasing substantially.
Recent heatwaves in June saw electricity demand surge across the EU's four largest economies: Germany, France, Italy, and Spain. France experienced the most significant absolute increase, with daily electricity demand rising by nearly 20% over a two-week period. The French grid operator RTE estimates that for every degree Celsius increase, energy consumption rises by 0.7 GW to 1 GW, suggesting cooling needs largely drove the observed demand increase.
This heightened demand, combined with supply constraints, led to sharp increases in wholesale electricity prices. Germany, sharing a market with Luxembourg, recorded prices exceeding €200/MWh, while France reached nearly €160/MWh. The supply crunch was exacerbated by reduced wind generation in Germany and a significant cut in France's nuclear power output due to high river water temperatures impacting reactor cooling. Despite the growing demand, cooling still accounted for only 0.8% of the EU's total final energy consumption in 2024.
Experts suggest that improving the efficiency of cooling equipment and leveraging solar power, which peaks during daylight hours when cooling demand is highest, will be crucial for managing future demand. The increasing reliance on cooling underscores its growing importance for public health and safety, necessitating adaptable electricity systems.
