Two years ago, the 24-year-old started the catering company Urt & Ugras. Now the days have to be planned in detail: They don’t use machines unless they have to. – It is simply too expensive to start up ovens and hotplates if you are only going to use them a little. It is not optimal, says Log. She points out that the quality will be better if they can prepare all the food on the day it is to be used, but that they must consider that there are large costs associated with each use. The business has made a profit the whole way and now has nine employees. But the increasingly large electricity bill is challenging. Soon to run out of measures The most expensive is in South-West Norway, where Herbs & Weeds thrive. The average price on Friday is around NOK 4.04 per kilowatt hour. It stings for the 24-year-old entrepreneur at Stord. They soon have no more measures they can implement. – It is difficult when the prices increase, because we cannot take any more major measures to avoid using electricity. She points to the cold room, which must be open 24 hours a day. Log has taken many measures to use as little electricity as possible, but the cold room must be open 24 hours a day. Photo: Eli Bjelland – How much do you think about this? – Every week. Every week I have to think about how we use electricity. In the regions Southeastern Norway and Western Norway, the average is NOK 2.74 per kilowatt hour. That is before taxes, online rent and any surcharges, figures from Nord Pool show. In Northern and Central Norway, electricity prices are still very low, but respectively 1 and 19 øre per kilowatt hour. Quadrupling When Log looks at the electricity bills from 2021, the math becomes simple. In spring 2021, they paid 14,000 over four months. Now they pay 15,000 for one month. – It is a fourfold increase. Right now, the electricity price, diesel price and food price up our entire surplus. Julie Log, daily manager and chef at Urt & Ugras. Photo: Eli Bjelland The government currently has no specific power support measures for businesses, but will now work out a power support scheme. Earlier this week they had meetings with LO and NHO. – Some companies in some parts of Norway have clearly been hit in a way that is worth looking at in this particularly special situation, said Prime Minister Jonas Gahr Støre to news after the meeting. Jonas Gahr Støre after the meeting with LO and NHO. Photo: André Børke / André Børke Spokesperson for energy policy in Høgre, Nikolai Astrup, believes the government must take action. – Where the shoe presses now is to put in place a scheme for companies that are particularly vulnerable. The government has a job to do there. – All support or compensation helps us to operate more efficiently, sustainably and profitably. We are a small company in a small space that wants to grow and establish ourselves in the market. Then every krone plays a big role, says Log. Warns against electricity aid for businesses: – Then the price will be pushed up even further – With electricity support for small businesses, there could be a danger that businesses that would normally go bankrupt are kept alive? – I think that small businesses mean a lot to society. You get greater diversity and that creates lots of jobs. We need the founders, and we will take their breath away if they go bankrupt due to increased electricity costs, says Log. These steamed potatoes are record expensive. Photo: Eli Bjelland High prices throughout the winter The background to the fact that we are experiencing yet another record expensive electricity day is compounded. The energy crisis in Europe, high coal and gas prices, the war in Ukraine, high electricity prices in our neighboring countries and little water in reservoirs in southern Norway are some of the factors. Right now it is both dry and windy on the continent. Then prices rise further, explains Pål Svendsen, senior analyst on the power market in the Nordics at Storm Geo Nena. He points out that electricity prices on Saturdays are almost as high. – The expectation in the market is that coal and gas will be expensive throughout the winter, this will also affect Norwegian prices, says Svendsen. Log i Urt & Ugras looks forward to the future, despite the challenges. She tries to find different solutions to problems that arise. – But if this continues, then consumers will have to bear the brunt of our prices going up. Julie Log in Herbs & Weeds cannot avoid setting the prices, but tries to see the light of the situation. Photo: Eli Bjelland
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Julie (24) has to plan when the roasting area can be used – news Vestland
