Electricity Prices in Sweden – What you need to know

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Tobias Sjöström

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Like many other countries, electricity prices in Sweden have been influenced by a variety of factors, both local and global. Whether it’s the impact of environmental policies, market forces, or international events, these elements can cause fluctuations in the cost of electricity. But fear not; understanding these factors can equip you with the knowledge to manage your electricity consumption and costs effectively.

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In recent times, global events have significantly impacted electricity prices worldwide.

For instance, geopolitical tensions, climate change, and shifts in energy policies can all contribute to changes in electricity prices. While these factors might seem overwhelming, it’s important to remember that they are part of a complex global system. And as residents in Sweden, we are part of this system too.

  • Fluctuating Electricity Prices: Swedish electricity prices, based on spot prices, surged across all regions in June 2023.
  • Regional Price Differences: Northern Sweden experiences lower electricity prices due to network capacity limitations affecting transfer to the high-usage south.
  • Future Price Variations and Consumer Impact: Transition to 100% renewable energy will cause more frequent price fluctuations, potentially increasing costs for unadaptable consumers.

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Understanding Electricity Prices in Sweden

As you settle into your new life in Sweden, you might notice that the cost of electricity can vary. But don’t be alarmed! This is a normal part of how the electricity market operates, and understanding it can help you plan your usage and budget more effectively.

Electricity AreaPrice in May 2023 (öre per kWh)Price in June 2023 (öre per kWh)
Luleå27.851.6
Sundsvall27.851.6
Stockholm39.053.1
Malmö73.5103.4
1 Swedish Krona (SEK) = 100 öre.

In Sweden, electricity prices are influenced by a variety of factors. These include the cost of production, supply and demand, government taxes, and even weather conditions. For instance, during colder months, demand for electricity can surge, leading to higher prices. Similarly, global events such as geopolitical tensions or changes in energy policies can also impact the cost of electricity.

As of now, the average electricity price in Sweden is around 65 öre per kWh. However, this price can fluctuate throughout the year. For instance, in the past year, we have seen an increase in electricity prices due to various factors such as increased demand and changes in global energy markets.

What’s important to remember is that despite these fluctuations, Sweden’s electricity market remains robust and reliable. The country has a diverse energy mix, with a significant portion of electricity generated from renewable sources like wind and hydropower. This contributes to a more sustainable energy system and helps buffer against price fluctuations in fossil fuel markets.

Recommended Electricity Companies in Sweden

Now that you have a basic understanding of electricity prices in Sweden let’s dive into the world of electricity providers. After all, choosing the right provider is a crucial step in managing your electricity consumption and costs.

Sweden boasts a competitive electricity market with numerous reliable providers. Each of these companies offers different plans, pricing models, and customer service experiences. Here are a few we recommend considering:

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Here is a nice offer for 100% renewable electricity with no monthly fee for 9 months, to a value of SEK 405 and a discount per kilowatt hour of 7.5 öre/kWh including VAT.

  1. Vattenfall: As one of Sweden’s largest electricity providers, Vattenfall offers various plans to suit different needs. They’re known for their commitment to sustainability and their efforts to transition towards a fully renewable energy system.
  2. E.ON: E.ON is another major player in the Swedish electricity market. They offer competitive pricing and a range of plans, including options for green electricity sourced from wind and solar power.
  3. Fortum: Fortum is renowned for its customer service and transparent pricing. They offer various plans, including options for 100% renewable electricity.
  4. Göteborg Energi: A popular choice in the Gothenburg region, Göteborg Energi is a municipally owned company known for its commitment to sustainability and local community.
  5. Ellevio: Ellevio is one of the largest electricity distribution companies in Sweden. They’re responsible for maintaining and upgrading the electricity network, ensuring a reliable supply to your home.

Electricity Connection at Homes in Sweden

In Sweden, homes are automatically connected to the electricity grid. This means that it will already have electricity when you move into your new home. You won’t have to worry about setting up a new connection, allowing you to focus on settling into your new surroundings.

The electricity grid in Sweden is operated by local electricity companies. Each of these companies is responsible for connecting buildings and homes in their area to the local grid. This means that depending on where you live, your electricity will be supplied by a specific local company.

But what if you’re moving into a new construction or a building that was previously not connected to the local grid? Don’t worry; you can still get an electricity connection. You’ll need to contact a qualified and licensed electrician to do this. This electrician will then liaise with the local grid company on your behalf to install an electricity meter in your new home. After paying the necessary fee, the grid company will install the meter, and voila, your new home will be connected to the local electricity grid.

Electricity Meters in Sweden

electricity meter sweeden

In Sweden, all homes and commercial buildings are equipped with smart meters. These devices record your electricity consumption and communicate this information back to your electricity provider. This means you don’t have to worry about manually reading your meter or submitting readings to your provider – it’s all taken care of automatically.

One important thing to note is that while you use the meter, you don’t actually own it. The ownership of the electricity meter lies with the local grid company supplying you with electricity. They are responsible for its maintenance and functionality, so you should contact your local grid company if you ever encounter any issues with your meter.

Your electricity bill will be based on the readings from your smart meter and will typically consist of two parts: the amount of electricity you consume and the cost of transporting that electricity through the grid to your home. This means that understanding your meter and your consumption can help you better understand your electricity bill.

Changing Your Electricity Supplier in Sweden

You might wonder if you can change your electricity supplier. Maybe you’ve found a supplier with a better price, or perhaps you’re interested in a company that offers more renewable energy options. Whatever your reasons, the good news is that in Sweden, you have the freedom to choose your electricity supplier.

When you move into a new home in Sweden, you’re automatically connected to the local electricity grid, and your electricity is supplied by a default company. However, you’re not locked into staying with this company. If you find another supplier that suits your needs, you can switch without a fee.

Before you decide to switch suppliers, it’s important to consider the terms of your agreement with your current supplier. Some companies may have a lock-in period during which you cannot break the contract, or they may charge a fee if you decide to switch suppliers before the end of your contract term.

Once you’ve found a new supplier, they will help you with the process of switching. You’ll need to sign a new agreement with them, and they will handle the communication with your current supplier. The entire process usually takes around six weeks.

Related: You can also change your mobile network operator in Sweden

FAQs

How much electricity cost in Sweden?

The cost of electricity in Sweden varies by region and over time. As of June 2023, the price ranged from 51.6 öre per kWh in Luleå and Sundsvall to 103.4 öre per kWh in Malmö.

How much is a KWh in Sweden?

The cost per kilowatt-hour (kWh) in Sweden fluctuates based on several factors. In June 2023, the average price across four major regions was approximately 64.925 öre per kWh.

Why is electricity so expensive in Sweden?

Electricity prices in Sweden are influenced by various factors including the transition to renewable energy sources, limitations in the electricity network’s capacity, and the prices in neighboring countries as Sweden is part of a common electricity market with the rest of Europe.

ABOUT Tobias Sjöström

Tobias brings much experience from his time at one of Sweden’s largest banking institutions. He’s not just our lead financial guide; he’s also an avid traveler who understands the challenges expats face.

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