Price of electricity to go up by about 20% in 2013

A new survey by the ministry of economic affairs says that price of household electricity will go up by about a fifty in 2013 when Estonia fully liberalises its electricity market and everybody will be buying electricity from the open market, writes Äripäev.

The ministry has prepared amendments to the electricity market act and sent the draft amendments to other government agencies for approval.

When the Estonian electricity market is liberalized, its price will be set by the Nordic electricity exchange.

 

In April, one MWh of electricity cost 55 euros on the exchange while the regulated price on the Estonian domestic market was 30 euros per MWh.

The finance ministry has said that full liberalisation of the Estonian power market mean that the price of electricity will go up by about 20% in the next three years.

“Our spring forecast estimates that the major cause for an increase in electricity tariffs in the next few years will be the opening of the electricity market in 2013,” said Rainer Laurits from the finance ministry.

Source: BBN

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