It costs around 12–13 øre to produce electricity from Norwegian hydropower. Frøshaug does not demand prices all the way down to that level. – But at the same time, we have traditionally had prices in Norway in the last 10-15 years of 30-35 øre on average. The prices going forward should be between 35 and 60 øre, he says to news. At this weekend’s annual meeting of Frøshaug’s county association Østfold, strict requirements for the electricity policy were adopted. And according to what news is informed by sources familiar with the work in the government, the plan is to present changes to the electricity subsidy scheme during the week. The question was up for discussion during the government conference last week, without a final decision being made. CRITIC: Indre Østfold mayor Saxe Frøshaug feels frustration at the Sp grassroots. Photo: Stein Ove Korneliussen / news Already in January, news reported that the government was working on changes to the electricity subsidy. At the same time, Oil and Energy Minister Terje Aasland (Ap) confirmed that it could take up to six months for these changes to take effect. – The high electricity prices we have had now for over a year are not something we can live with over time, says Frøshaug, who is also head of SP’s mayors’ network. – We have to take national measures to bring prices down, he demands. New rounds of electricity can be expected as early as the weekend. Then there is an annual meeting in five of the Center Party’s county teams, including in Hedmark and Oppland, where party leader Trygve Slagsvold Vedum belongs. DISSATISFACTION: The need for a better electricity subsidy scheme characterizes the county annual meetings of the Center Party and the Labor Party. Photo: Kristian Skårdalsmo Tightens the requirements And while the government calculates, assesses and analyzes possible changes to the schemes, the power debate rages on at the grassroots in Sp and Ap. Many county annual meetings now adopt sharp resolutions, with demands on the government. Frøshaug in Indre Østfold emphasizes that the annual meeting of Østfold Sp did not define a specific electricity price. But the meeting adopted a comprehensive resolution on electricity, which, among other things, states: The scheme with electricity support for business is “not nearly good enough”. If the price level in the future does not meet SP’s goal of stable, predictable and competitive prices, “the government must implement a far more comprehensive electricity support scheme.” Net energy export cannot be permitted when water reservoirs are below the median level. Oslo Sp also adopted a clear power resolution during its annual meeting at the weekend. The county association will frame the foreign cables in their own price ranges and renegotiate the agreements for the power cables to Great Britain and Germany. In addition, Oslo Sp will ban pure electricity companies, for example by setting requirements that the company must produce electricity in order to sell anything other than surplus power. – We are in favor of specific proposals that take back national control over electricity exports and thus the electricity price, says Sp’s group leader Morten Edvardsen in Oslo. A whole menu Also in Ap, which gathers on Tuesday for a national board meeting in Oslo, things are simmering heavily. The government’s electricity subsidy scheme is too bad and must be improved, said Stavanger mayor and committee leader Kari Nessa Nordtun when she recently presented the report from Aps’ internal energy committee. – This is unsustainable, as the situation is for many people now. It is unlivable, she said on Tuesday in news’s Political Quarter. Nordtun says it is urgent to improve electricity support and expects new measures from the government in good time before Ap’s national meeting in May. In the report itself, reduced VAT is pointed to as one possibility, but news knows that a number of alternatives were discussed in the committee: Maximum price. Several parties have put forward proposals for a maximum price, which the LO giant Fellesforbundet has also advocated. Lower impact point. Today, electricity support is paid for 90 per cent of the price above 70 øre, without VAT included. By lowering the cut-off point from 70 to, for example, 50 øre, households will receive more electricity support. Top price system. The Center Party has been eager for such a model, which aims to make electricity cheaper for Norwegian households than the power that is exported via cables out of the country. Changing the electricity subsidy from starting from a monthly average price to an hour-by-hour or day-by-day price. This move will make electricity bills more predictable for most people. – We have considered several different measures that contribute to the same thing, precisely to reduce the bill for people. So we are not closing the door on any of these measures, Nordtun told news last week. IMPATIENT: Kari Nessa Nordtun heads Aps’ internal energy committee. She is impatient and demands immediate improvements in the power support. Photo: Stian Lysberg Solum / NTB No to maximum price Prime Minister Jonas Gahr Støre (Ap) has argued against introducing a maximum price for electricity, as suggested by the Swedish Confederation of Trade Unions, among others. Confederation leader Jørn Eggum told news earlier this winter that the maximum price should be 70 øre per kilowatt hour for ordinary consumers. – I think the maximum price is a bad solution. I think it could lead to a power collapse in Norway, that we get too little power for the needs we have, Støre told news earlier this month. In a speech to party colleagues at Lillestrøm on the first weekend in February, Støre admitted that he was prepared for internal discussions about the electricity subsidy scheme in the lead up to the national meeting in May. “BAD SOLUTION”: Labor Party leader and Prime Minister Jonas Gahr Støre is not enthusiastic about proposals for a maximum price for electricity. Photo: Trygve Heide / news – We will certainly have discussions about this, at county annual meetings and towards the national meeting. It is good. This is how it should be in a democracy, said Støre and concluded himself: – The answer to the challenges we face is more power, more network and more efficiency! Energy Minister Terje Lien Aasland spoke about the electricity subsidy after a meeting with the parties in employment on 18 January. – It takes time to change large systems. We are many people in Norway, and it must be ensured that the systems that are eventually introduced are good and effective – and that they provide the right conditions for the individual. So if we’re going to make changes, we need to be sure we’re making changes that actually work when we make them, he said. Before Christmas, the government set aside well over NOK 40 billion for electricity subsidies this year. But since then, the forecast for the electricity price in 2023 has dropped like a stone, news was able to tell a few weeks ago. Thus, by all accounts, the electricity subsidy will be far less expensive this year than expected. Power riots Among SP’s many mayors there is also great concern that the current situation puts many businesses, jobs and value creation at risk. Mayor Frøshaug in Indre Østfold is particularly keen to preserve a competitive advantage Norwegian business has had for decades: Namely low power prices. – Then we must be significantly lower than Sweden, Germany and the countries with which we compete the most, he says. Frøshaug is calling for a much broader electricity support scheme for business than the current system. – That scheme only affects those companies that have extremely high electricity prices. And even they are only compensated to a modest extent. He now says the grassroots must give a “strong and clear signal” to Vedum, so that the finance minister feels he has the whole party behind him when he makes demands internally in government. – There is no doubt that this is an important issue in the election in the autumn. The most important thing the government can contribute here is to put in place measures that we can see working. – Will there be an electricity riot in Sp if the government does not come up with measures? – There is no doubt that there is great frustration and impatience around the country now. We will probably notice at the county annual meetings in February that this will be an important topic.
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Power price of 60 øre – news Norway – Overview of news from different parts of the country
