The average price in July was more than double that of April.
Stock exchange electricity the price has risen sharply since the spring. The average price in July was 9.77 cents per kilowatt hour, while in April electricity was allowed to cost 4.56 cents per kilowatt hour.
Even during the winter heating season in February, the average price per kilowatt hour remained on the hair at 7 cents.
“I don’t remember when the price was so high during the summer season,” says the CEO of the grid company Fingrid. Jukka Ruusunen.
The phenomenon is exceptional, as prices are usually at their lowest in the summer. According to Ruusunen, there are several reasons for the rare situation, and all of them point in the wrong direction for the electricity user.
At the top is the low level of Norwegian and Swedish water basins. It has a strong effect on the price of electricity. With plenty of water reserves and plenty of cheap hydropower on offer, the price of exchange-traded electricity will fall in the Nordic countries. When cheap hydropower is scarce, the price of electricity goes up.
“There are now quite a few shortcomings,” Ruusunen emphasizes.
According to him, the situation of Finland’s own water basins is not decisive for the whole.
In addition to scarce hydropower production, weak winds were reflected in wind power production.
Another important factor is the constant rise in the price of allowances. The price of emission rights peaked at the beginning of July at EUR 57.87 per tonne of carbon dioxide.
At the end of April, the price was about 49 euros per tonne and at the beginning of the year 33 euros per tonne.
July the effect of heat is reflected above all in an increase in cooling. The trade in electricity-consuming air conditioners has been hot.
“The effect of cooling is visible, but it is by no means the biggest factor in the price,” Ruusunen reminds.
In Central Europe, on the other hand, according to him, calculations of electricity adequacy have shown that summer is a critical time.
In Central Europe, heat cycles tend to be longer, and then cooling and air conditioning consume a lot of electricity.