In the last week, electricity prices in Norway reached new heights. The average price for southern and central Norway has been over NOK 4.50 kWh in recent days, and hourly prices have varied from NOK 2.80 to NOK 7. And even in Northern Norway, prices have reached record levels. On Monday this week, Northerners had to pay an average of NOK 3.22, and a maximum price of NOK 5.33. And at the same time that electricity customers in large parts of Norway can look forward to signing fixed price agreements, this is possible in Northern Norway. Among other things, Helgeland Kraft offers three-year agreements at 69.5 øre kWh. But executive director Arild Markussen at the electricity company warns his customers not to jump on the offer. – It is true that I do not recommend entering into a fixed price agreement of around 70 øre for customers in Northern Norway, he says. Arild Markussen is executive vice president for electricity at Helgeland Kraft. Tracks a pig winter The reason for the slightly startling statement is that Markussen does not think the average price for the next three years in the north will exceed 70 øre. – That’s why I don’t think it’s a good offer. – But if we had a similar offer for customers in southern Norway, I would recommend it, says Markussen. However, he does not want to speculate on how low the price had to be for him to sign a fixed-price agreement himself. – It is up to each individual what they can tolerate financially, and how big a risk they can take. It will be expensive in December, and it could be expensive in the first months of next year. The cold is to blame On Thursday, the price throughout Norway will drop a few cents, but will still remain at the same level as earlier this week. So up to NOK 4 in southern and western Norway, NOK 2.38 in central Norway and NOK 1.35 in the far north of the country per kWh. The main reason for the electricity prices in Northern Norway is the cold period we are in. – Only here in Mosjøen, where I live, has it been well over 20 degrees Celsius in the last few days. In addition, there has been little rainfall in recent months, which means that the producers are holding back on the water. Markussen also says that the transmission capacity to northern Sweden and central Norway is now running at full capacity compared to earlier this summer. – Then there was a good deal of maintenance which reduced the capacity. Now we are up and going with what is, and then in the north we are hooked on the prices that are in northern Sweden and in Trøndelag. Sold out for fixed price Further north in the county, Polar Kraft is located. Here, too, you can take out a fixed price agreement – as long as you live in the north – at 68.90 øre/kWh for the next two years. But it will be at your own risk, says managing director Herold Myrland. – Consistently, we never recommend binding the price. It is the customer’s own choice to make that decision. But we have always had that offer, because we believe that customers should have that choice. CEO of Polar Kraft, Herold Myrland, says that the demand for fixed price agreements has been great recently. Photo: Polarkraft Previously, the company had three-year agreements for sale for 54.9 øre kWh. And when electricity prices skyrocketed last week, the fixed price agreements were also torn away. – There was such a massive influx that we had to close the sale of the three-year fixed price on Monday morning because we were sold out. – For my part, it is a clear indication that this is something the customers want. He himself has chosen to have a fixed price agreement in his own household. – And I have had that for many years. I like having the predictability. The power surplus is eaten up But no tree grows into the sky – not even in northern Norway. From 2026, it is believed that the surplus of power will be eaten up, if all planned industrial projects become a reality. – Then the analyzes say that we will have prices corresponding to the average in the Nordic countries, says Markussen. But a fixed price agreement so far into the future, even the northerners have to look far ahead.
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Warns against Helgeland Kraft’s fixed price agreement – believes it is too high – news Nordland
