During the first half of 2025, electricity prices showed mixed but generally stable trends across major global markets. In the EU, prices stayed lower compared to the same period in 2024, supported by strong growth in renewable energy generation. A mild winter and high hydropower availability also helped to ease pressure on wholesale prices.
Solar power hit new records in spring, further reducing reliance on gas-fired generation. Combined with steady nuclear output and lower overall electricity demand, these factors kept both wholesale and retail prices in check. The declining cost of gas in early 2024 also continued to influence electricity prices positively into 2025.
In contrast, the U.S. experienced a steady increase in electricity prices through H1’25. Retail prices continued to rise faster than inflation, driven by increased infrastructure investment and the ongoing need to upgrade aging systems. Areas with already high electricity costs saw the largest price hikes. While fuel costs like natural gas had moderated, retail prices didn’t fall in step due to delayed pass-through effects and other fixed charges.
In Vietnam, a new retail electricity pricing framework was introduced, bringing more transparency to consumers. The government set clearer pricing limits, aligning with market costs while excluding VAT, suggesting a move towards more stable and predictable pricing.