65% of Consumption Points Have Electricity Contracts

By midnight on December 31st, electricity consumers had signed over 461 000 electricity purchase contracts with sellers, meaning that 65% of all consumption points were covered by contracts.

By the end of the year, contracts have been signed and submitted to the Data Warehouse as follows: 408 284 contracts for Eesti Energia, 13 871 for 220 Energia OÜ, 11 982 for Elektrum Eesti OÜ, 7885 for Elektrimüügi AS, 7712 for VKG Elektrivõrgud OÜ, 7192 for Imatra Elekter AS, 1960 for Baltic Energy Services OÜ, 699 for AS Eesti Gaas, 535 for Nordic Power Management OÜ and almost 1300 contracts for all other sellers.

Judging by signed contracts, the share of customers who switched sellers was nine percent.

Taavi Veskimägi, Chairman of the Board of Elering, said that the accurate overview of the market share of various sellers comes not from the number of contracts signed, but from the amount of electricity sold. Therefore, the number of contracts signed cannot be used to put together a ranking table of market participants; or rather, such an arrangement would not reflect the true partitioning of the market. “In terms of energy sales, the market has certainly split between participants in a more even way than it seems by the number of contracts, since many traders who do not have a retail sales network have focused their activities primarily on major business consumers,” remarked Veskimägi.

Out of the contracts signed by the last day of the year, 17% had an unspecified term and 83% had a limited term. Out of the limited-term contracts, one-year periods were the most popular, with a share of 66%. Six-month contracts form 20% of all limited-term contracts. The share of two-year contracts is four percent, and the share of three-year contracts is nine percent.