Electricity, Electricity Price | Extreme power variations: 191 times more expensive power in the evening and morning
Thursday and Friday have been the cheapest days with electricity in southern Norway since the autumn of last year – and now prices are still down.
Cheap electricity in a period where Statnettet fears for security of supply is really a relative concept: In practice, this means that the extreme prices have let go for a few days, the price is around what has been the normal price in all previous years.
Also read: How the state worked for power cable that would provide more expensive power
From extreme prices to minus prices
The price drop from around 150 to 37 øre (plus VAT) does not come as a result of good water in Norwegian water reservoirs. The main reason, on the other hand, is relatively low consumption in combination with mild weather and public holidays and cramped days. At the same time, it has blown hard in both Germany and Denmark, and large production of solar power in the middle of the day.
This has pushed the price in both Denmark and the Netherlands to minus prices for some hours. On Wednesday afternoon, the Danes will be paid up to 11 øre pr. kWh to use power! In southern Norway, the price drops to just under 4 øre. At the same time, the price is 30 times more expensive at its most expensive.
This illustrates the great challenges of renewable energy production, where it often either does not produce enough – or too much.
On top of it all is the power cable to the Netherlands out of order due to a fault, which leads to smaller exports. The cable is expected to be out of operation until August.
Low prices continue
The latest figures from the power exchange Nordpool show that the low electricity prices continue into the weekend. The average price in Eastern Norway falls from 48.5 to 34.7 øre per. kWh.
But what’s really spectacular is the price variation throughout the day:
- At the very cheapest tomorrow, between 8 and 9, the electricity price will be 0.73 øre (!) Per. kWh
- Between 22 and 23 in the evening, the electricity price will be 140.21 øre
The prices are exclusive of VAT, and thus a kWh will actually cost as much as under a penny at its cheapest.
This means that the price in the evening will be 191 times higher than during the day, and at the cheapest price in southern Norway will be lower than in northern Norway. But prices in northern Norway do not continue in the same way in the afternoon, and thus get, as usual, lower average prices.