Pour the water into a medium saucepan. Add the sugar, cinnamon sticks, cloves, and star anise. Heat over medium heat until the sugar is completely dissolved.
Thoroughly wash the orange and slice it into rounds. Add the orange slices to the spiced water, allowing their aroma to infuse.
Pour in the red wine and gently heat over low heat, being careful not to boil, as this will cause the alcohol to evaporate.
Taste and add more sugar as needed, according to your preference.
Once the wine is sufficiently heated and the flavors of the spices have been released, strain it to remove the spices and orange slices.
Serve the mulled wine hot in heat-resistant mugs, garnished with an orange slice or cinnamon stick.
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