Electricity prices, Q4 2000

In the 4th quarter last year the average price of electric energy for all types of contracts was 15.4 øre/kWh, excluding taxes, and 26.1 øre/kWh, including taxes. For those who purchase electric energy at a variable price, which is the most common arrangement, the electric energy price was 15.3 øre/kWh, excluding taxes. The price of energy according to this type of contract rose by 51 per cent over the previous quarter, while it declined by 8.7 per cent relative to the previous year. Higher taxes on electric energy resulted in the price of power rising 4.9 per cent in the past twelve-month period for households that purchase energy at a variable price.

Even though there are great seasonal variations, electric energy prices have trended downwards in recent years. A preliminary estimate of the average price of electric energy for all types of contracts in 2000 for households is 14.1 øre/kWh, excluding taxes. In 1999 the comparable price was 15.2 øre/kWh, whereas in 1998 it was 16.2 øre/kWh.

Less seasonal variation for business and industry

Service industries paid on average 14.4 øre/kWh for electric energy in the 4th quarter last year, excluding taxes. This is 19.3 per cent higher than in the 3rd quarter 2000, but a decline of 3.9 per cent from the 4th quarter 1999. Seasonal variations are considerably less for service activities and industry than for households. This is due to more widespread use of fixed-price contracts by industry. For all of 2000 the average price for service industries was 13.3 øre/kWh, excluding taxes. This is a decline of 10.3 per cent from the previous year.

In the 4th quarter last year, the electric energy price for industry, except for energy-intensive manufacturing, was 14.7 øre/kWh, excluding taxes. This is an increase of 13.4 per cent from the 3rd quarter 2000. The increase is mainly due to higher electric energy prices for contracts tied to the spot price. In the past twelve-month period there has been a decline of 3.7 per cent for industry, except for energy-intensive manufacturing. A preliminary estimate of the average electric energy price for 2000 is 13.9 øre/kWh for this group. For energy-intensive manufacturing and paper and paper products the average electric energy price for all of last year was 12.2 øre/kWh, excluding taxes.

Higher spot prices

The spot price of electric energy normally shows seasonal variations. In the 4th quarter last year the average price, excluding taxes, for the sale of energy on the electricity spot market and regulating power market was 13 øre/kWh. This is an increase of 78 per cent from the 3rd quarter. In the past twelve-month period the sales of electric energy has risen by 7.5 per cent. However, if one looks at the average for all of 2000, electric energy prices declined from the previous year. The price of energy on the electricity spot market and regulating power market was estimated to be 9.4 øre/kWh in 2000 and 11.1 øre/kWh in 1999. In the 4th quarter last year, the average price for all sales of wholesale electric power, also including fixed-price contracts, was 13.1 øre/kWh. The average for 2000 was 10.7 øre/kWh, whereas in 1999 it was 12.3 øre/kWh.

Tables:

• Table 1 Electricity prices in the end-user market, quarterly. øre/kWh
• Table 2 Electricity prices in the wholesale market, quarterly. øre/kWh
• Table 3 Range of electricity prices in end-user market and distribution of sold quantity in the sample