Sweden: Electricity prices in north remain at high levels

The electricity prices in the northern parts of Sweden remain at high levels due to poor wind conditions and the Russian decision to suspend electricity deliveries to Finland, according to figures from the Nord Pool Power Exchange. On 18 May 2022, the daily price in Sweden's electricity areas 1 and 2 fell to SEK 0.92 (EUR 0.09 USD 0.09) per kWh, compared to SEK 1.20 the day before. Meanwhile, the price in electricity area 3 decreased to SEK 0.93, compared to the increase to SEK 2.01 in electricity area 4. Christian Holtz, analyst at Swedish consultancy Merlin & Metis, says that the northern part of Sweden is currently having very low wind power production, which means that the region cannot produce enough to cover its own consumption or transmit close-to-cap electricity down south. He further states that the Swedish prices are affected by higher prices in Finland due to the Russian decision. Even so, Holtz projects that northern Sweden will have significantly lower electricity prices than southern Sweden for the rest of 2022.