Huge differences in energy prices
According to electricity exchange Nord Pool, the price per kilowatt hour will rise to more than 8 kroner (0.7 euros) in southern and central Sweden on Thursday, excluding taxes and other fees. At the same time, in the north of the country, where there are hydroelectric power plants, the cost of energy is close to zero. The differences between the south and the north of the country are up to 1,000 percent.
No wind in Germany
Energy market analyst Johan Sigvardsson estimated in mid-December that the reason for high energy prices is the decline in production from wind farms in Germany. “When Germans do not have access to cheap energy, they resort to imports” – emphasized Sigvardsson, quoted by the TT agency
Another possible reason is the introduction at the end of October in Scandinavia, in accordance with the EU directive, of a new method of pricing a kilowatt hour on the energy market.
As the Swedish state-owned electricity grid operator Svenska Kraftnaet explains on its website, this method allows for increased energy transmission within the Nordic countries and between these countries and the rest of Europe, and the aim of the entire project is to stabilize prices. According to Johan Bruce, an expert from the Swedish organization of representatives of energy-intensive industries (SKGS), “however, it seems that the new calculations (of energy prices) have strengthened the connection with the continent (Europe) more than the transmission of electricity within the country.”
High energy prices spark debate in Sweden
In Sweden, high energy prices have sparked political debate. The opposition Social Democrats and the Left Party accused the center-right government of failing to deliver on its promise of cheap energy. These groups proposed that Sweden suspend the new energy price calculation system. Prime Minister Ulf Kristersson and Energy Minister Ebba Busch blamed the problems on the previous authorities – the Social Democrats and the Greens, who decided to prematurely close four nuclear reactors. The government wants to build new nuclear blocks, but implementing this project takes time. The authorities have not ruled out subsidies for high bills, following the example of a similar solution from 2023.
Denmark also wants to save itself with nuclear power
Denmark, a country dependent on its own wind energy, has also had high electricity prices for a week. In recent days, the lack of sunlight has also taken its toll, which has limited the production of energy from solar panels. The opposition Conservative Party put forward a proposal to build a nuclear power plant.
From Stockholm Daniel Zyśk (PAP)
