Electricity | There are up to twofold differences in electricity transmission prices between regions

It would be difficult to equalize electricity transfer prices, says the director of the Energy Agency. In cities, the costs of electricity network companies are reduced by short distances and a large number of residents.

Habitation has a significant impact on how much you have to pay for the transmission of electricity in Finland. At most, the price difference can be up to double, depending on where you live.

Last May, the cheapest price was in Kerava, where the resident of a single-family house had to pay an average of 950 euros per year for electricity transmission. Kerava Energia is responsible for the electricity grid in the area.

Järvi-Suomen Energia, which supplies electricity to Mikkeli and Savonlinna, for example, had the highest transmission price. The transfer bill of the company’s private house customer was almost 2,000 euros per year, i.e. more than double compared to Kerava.

Sample prices have been calculated The Energy Agency based on statistics and the average price of electricity transmission last May has been used as the price. The price includes the fixed monthly electricity transfer fee, transfer fee and electricity tax. The electricity consumption of a detached house is assumed to be 20,000 kilowatt hours.

Unlike utility electricity, electricity transmission cannot be tendered. Each region has only one electricity network, so the local electricity transmission company has a monopoly position in the region. There are 77 electricity network companies in Finland.

Home association executive director Marju Silanderin it is partly understandable that transfer prices vary so much. The construction and maintenance of the electricity network is very different in cities and sparsely populated areas. Ownership policy is also of great importance.

Also Home association has investigated the differences in electricity transmission prices. According to a report published in the spring, the most expensive fixed basic fee for electricity transmission was almost ten times higher than the cheapest. The highest basic payment was in May at Järvi-Suomen Energia, 40.7 euros per month. Kerava Energia’s customers got the cheapest, 4.7 euros per month.

Silander says that Kerava, for example, is quite small in terms of surface area, so the electricity network does not need to be built as much. Building or maintenance is also not hindered by, for example, extensive forests or lakes. A large number of people also reduces costs per inhabitant.

“In Järvi-Suomi, the natural conditions are such that (construction) is inevitably more expensive there,” says Silander to STT.

In forested lake areas, storm and snow damage also cause more repair costs for electricity companies than in urban areas.

Nevertheless, Silander finds such a big difference incomprehensible.

Energy Agency supervises transfer price increases in Finland and, if necessary, intervenes in excessive increases. However, the agency cannot intervene in price differences between network companies.

The network company may increase transmission prices by a maximum of eight percent per year. Previous Sanna Marini (sd) the government reduced the upper limit of the one-time increase from 15 percent to the current level.

Director of the Energy Agency Veli-Pekka Saajo considers the price differences between the companies to be significant. He also points out that in cities such as Kerava or Helsinki, prices are lowered by large numbers of residents and short distances.

“If these prices were applied to, say, the Järvi-Finland area, it wouldn’t necessarily work, and the companies would no longer be able to make sufficient investments, operate the network, maintain and maintain electricity for customers,” says Saajo.

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