Power exchange price of electricity in Estonia was lowest in Finland and Baltics area in August

In August, the price of electricity rose in nearly all of the bidding areas of the Nordic countries’ power exchange, Nord Pool, while in the Finnish and Baltic bidding area, the price was lowest in Estonia.

In Estonia, the price rose by close to 2.5 per cent compared to May, reaching 55.4 euros per megawatt-hour. In Finland, the price of power rose in price by one euro cent, increasing 2.8 per cent during the month. In the Estonian and Finnish bidding areas, a price difference was seen in 47 hours during the month.

The exchange price of electricity in Latvia and Lithuania grew over eight per cent to 59 euros per megawatt-hour. The price difference was seen between Estonia and Latvia bidding areas in a total of 63 of the hours. The system price on the power exchange stayed at the same level as last month: 51.7 euros per megawatt-hour.

In August, electricity power flows were directed toward Finland over one-third of the time and the rest of the time, they flowed toward Estonia. There was no trade between the two countries in 90 of the hours – 12% of all hours in the month. In both directions, slightly over 15 per cent of the capacity allocated to the market was used; in the Finnish direction the capacity was used in full in 31 of the hours.

Electricity power flows between Estonia and Latvia flowed toward Latvia 86 per cent of the time and the rest of the time in the direction of Estonia. Trade did not take place between the two countries in the case of three hours. In the Latvian direction, 63 per cent of the capacity allocated to the market was used; in the Estonian direction the figure was around four per cent. In the Latvian direction, the capacity allocated to the market was used completely 39 per cent of the time – in 288 hours - while in the Estonian direction, it was fully used in five hours of the month.

Elering earned 772,500 euros in income from allocating cross-border transmission capacity in August.

The prices of carbon dioxide emission allowances – which impact the price of electricity – continued to rise in August, ranging from 17.36 to 21.28 euros per tonne. The price range in July was 15.03 to 17.36.

Going by last month’s last trading day on the Nasdaq OMX futures market, electricity prices may decrease in October. In September, the price of electricity in Estonia may be 65.80 and, in October 62.20 euros per megawatt-hour. In Finland, the price of electricity for those two months may be 64.15 and 62 euros per megawatt-hour, respectively; and in Latvia, 69.15 and 66.05 euros per megawatt-hour.