News & events

2014-01-07

Lithuanian electricity prices likely to resemble those in Scandinavia

In 2013, the average electricity exchange price in the Lithuanian bidding area was 16.9 ct/kWh, or 9.6 per cent bigger than in 2012. Last year, the lowest daily electricity price of 8.4 ct/kWh was formed on 23 April, and the highest price of 43.6 ct/kWh on 1 October.

The lowest prices were recorded in the Lithuanian bidding area of the Nord Pool Spot Exchange in February, May and December. Neither in February nor May average monthly electricity prices reached 15 ct/kWh; however, the lowest average price of 12.9 ct/kWh was in December, with the lowest of the month at 9.2 ct/kWh on 25 December. That date was the first time since the start of operation of the power exchange that a uniform electricity price was recorded in the Lithuanian, Latvian, Estonian, Finnish and Swedish bidding areas.

“After the second power link between Estonia and Finland was put into operation in early December, the opportunities of electricity import from Nordic countries have increased. When we start operating the NordBalt link at the end of 2015, the Nordic influence on electricity prices will be even stronger,” said Daivis Virbickas, Chairman of the Board and CEO of Litgrid.
 
The comparison of electricity prices within the entire Nord Pool Spot system shows that in 2013 the electricity price was by averagely one fifth higher than in 2012. A price increase in the Lithuanian power exchange did not exceed 10 per cent. The increase in prices in Scandinavia and Finland was determined by the long winter, the cold spring and low resources of hydro-electric power plants, whereas power produced by other generators boosted electricity prices. Low water resources are statistically recorded in Scandinavia once in a decade.
 
A higher than average annual price was formed in the Lithuanian bidding area of the Nord Pool Spot Exchange from June to October last year. During this period Lithuanian and neighbouring power systems carry out repairs of power plants, power lines and other facilities. In October, when the air temperature started falling, thermal power plants were not yet put into operation and Kaliningrad Thermal Power Plant was shut off for two weeks, the demand for electricity grew in Lithuania like all across Northern Europe; however, supply could not be ensured until the beginning of November.
 
To top