Electricity prices have increased significantly in Finland Mind Energyn Collection from statistics.
Although prices in Finland have increased relatively moderately, prices have been one of the largest in Finland in recent years compared to other Nordic countries.
For example, last year in Finland had a negative price for almost a month.
“In Finland, the volatility of electricity is more than four times the years before the energy crisis. And that’s very significant. This has come to stay,” says Kimmo KuusinenCEO of Mind Energy Finland.
The reason is primarily the increase in wind power production, but also to solar power production.
On the other hand, this year, a new power transmission connection will be completed between Finland and Northern Sweden, which will provide significantly more transfer capacity.
“Increasing transfer capacity is expected to decline in Finland’s price level, which is positive. It also contributes to the fact that price fluctuations are not so high.”
Kuusinen estimates that the price of electricity will remain “relatively low for the next 3-5 years.
“At the moment, the production situation is very good.”
In addition, new consumption is coming to the market, which will balance the price variation as it is used when electricity is cheaper.
However, Kuusinen points out that when large green transition projects begin to materialize, they have an effect on the price of electricity.
Nonetheless, Kuusinen wants market -based solutions above all.
“The electricity market is already in the midst of big changes, and a lot will happen. If you start supporting a particular form of production, it can mess up the market, and on the other hand it can be harmful to renewable energy producers.”
According to Kuusinen, it would be important to ensure the adequacy of adjustable production capacity and increase the ability of production and consumption to flexibility. Renewable energy in its various forms is suitable for this purpose, and on the other hand, corporate customers’ production and industrial processes may also be more flexible for changes in electricity prices.
“For example, power boilers are already in use in primary production and food production, which mainly produce heat for companies’ own manufacturing processes.”
“Starting pricing is a very important thing.”
In the summer, the electricity market moves from hourly pricing to 15 minutes pricing. One reason is precisely the increase in the renewable, whereby the fluctuations in the production of electricity can be large within an hour.
“Starting pricing is a very important thing.”
Increased prices variation divides companies.
“The winner is a company that can adapt to the varied price level.”
According to Kuusinen, companies have to think about what their electricity supply strategy is and how to protect themselves from price variations.
Kuusinen hopes for political decision -makers to make long -term changes due to individual prices.
“I would like a long -term energy policy, not just from the election period to another, but in the longer term. Stable energy policy gives a backrest for business investment decisions.”