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Iseteenindus

Electricity market

An open electricity market creates the best conditions for customers

Estonia operates in the Nord Pool electricity market

  • Estonia is part of Nord Pool's open electricity market together with Norway, Sweden, Finland, Denmark, Latvia and Lithuania (see map).
  • In the open electricity market (power exchange), the price of electricity is formed as a result of supply and demand.
  • There is at least one price area in each country, in a larger country there may be several.
  • The areas are connected by cables (dark blue lines on the map).
  • Electricity prices vary from area to area due to limited cross-border transmission capacities.
  • The more renewable energy an area produces, the cheaper the price of electricity there.
    •

    NB! Daily price fluctuations on the power exchange only affect those consumers with an electricity package based on exchange prices. In the case of a fixed price electricity contract, the price has been agreed for the contract period and will not change.

    View your electricity contract or enter into a contract

    Exchange price of electricity

    The exchange price of electricity changes every hour as a result of supply and demand

         Exchange price of electricity

    Exchange price of electricity

    Exchange price formation

  • Electricity sellers place orders with the power exchange every day for how much electricity their customers will need for the next day. The amount of energy to be produced becomes clear.
  • Renewable and nuclear units are the first to enter the market to meet demand. Their output is at a lower price because the energy sources are very cheap and no carbon dioxide is emitted. If there is enough renewable energy to cover the consumption, the price of electricity on the market will be affordable.
  • If renewables do not meet the demand, oil shale, coal and gas power plants will have access to the market. Their electricity is more expensive due to both the fuel and the CO2 emission charges.
  • The exchange price of electricity is determined by the last bidder. If, for example, an expensive gas-fired power plant is the last to cover the market demand, it will determine the price of electricity for that particular hour.
    •  How to save on electricity costs

    Video elektrihinna kujunemise kohta

    How to save on electricity costs

  • If you have an hourly priced power exchange package, you can time your consumption to less expensive hours. Information about consumption and exchange prices is available on Eesti Energia's mobile app »
  • Review your devices that consume a lot of electricity. In general, larger and/or lower energy class appliances consume more electricity. The most energy efficient are A, B, C or D energy label appliances. Newer technology uses less electricity to run, and their purchase costs are relatively quickly returned by energy savings.
  • Replace halogen lamps with LED-s. LED luminaires can have up to 80% better energy efficiency.
  • Consider investing in renewable energy, as a well-designed solar power plant will pay off in ten years. Eesti Energia provides a complete solution for solar panels. Read more »
  • The best electricity is unused electricity. Thus, by finding points of savings and saving electricity by even one kilowatt-hour, you will save on network charges, electricity excise duties and renewable energy charges as well.
    •

    Many good energy saving tips and other interesting information can be found from: energia.ee/blogi

    Exchange price of electricity

    The exchange price of electricity is volatile, depending, for example, on maintenance and emergency work on power plants or submarine cables,
    transnational transmission capacities, the general economic climate and weather.

    EESTI ENERGIA'S WEIGHTED AVERAGE EXCHANGE PRICES

    Price per night Price per day Nightly rate

    Prices cent/kWh
    Sales marginal is added to prices

    Hourly exchange prices

    If you have a remote reading meter installed at your consumption point, the point of consumption has been switched to remote reading, and you have selected the hourly rate Exchange or Combined package, your electricity bill will depend on how much electricity you consume per hour and the exchange price for that hour. Hourly wholesale market prices are published on the Nordic Power Exchange, i.e., on the website of Nord Pool. You can also check the hourly rates for the next day with Eesti Energia's mobile app.

    Important! The common Nordic electricity market, Nord Pool, operates in the Central European Time Zone (CET), which is one hour behind the local Estonian time. In order to calculate the electricity bill correctly, Nord Pool Spot's hourly prices must be shifted one hour in advance to reflect the electricity consumption in the Estonian time zone.

    On the wholesale market, very large quantities of electricity are traded on, thus, prices are expressed in megawatt hours (1 MWh = 1000 kWH). For example, if the wholesale price of electricity is EUR 43 per megawatt-hour, that would be 4.3 cents per kilowatt-hour in kilowatts. It is worth remembering that the wholesale price of electricity does not include VAT and does not take into account the customer's electricity consumption.

    Effect of exchange prices on the invoice

  • If you have a standard single or double tariff electricity meter and you have chosen our variable or combined package, your electricity price will depend on the weighted average exchange price.
  • If you have the Fixed package, the price per kilowatt-hour of electricity is fixed for an agreed time, and the monthly electricity bill will be the same.
  • If your point of consumption has been switched to remote reading and you have selected a hourly rate Variable or Combined package, the amount of your electricity bill will depend on the amount of electricity consumed per hour and the exchange price for that hour.

    • Universal service and balancing energy

    Universal service or balancing energy is used by those electricity consumers who have not contracted with any electricity trader.
    In that case, the electricity is sold by the network operator or its authorised electricity trader.

    PRICES FOR THE UNIVERSAL SERVICE

    Starting from 01.01.2022 general service customers will be billed on basic price basis.

    Price per night Price per day Nightly rate

    Prices cent/kWh

    Look at price history

    Detailed calculation of universal service prices »

    Marginal added to balance power price 01.01.2015 - 30.06.2022 »

    Related topics

    Electricity packages

    Choose the right electricity package

    Sign a contract

    Gas packages

    Choose the best package for you

    Selection of gas packages

    Electricity packages for businesses

    Powering your business

    Choose the right package

    Prices for the universal service

    Price per night Price per day Nightly rate

    Prices cent/kWh