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Electricity, Electricity Price | How to read your electricity bill

The electricity bills look different, depending on which company you get the bill from. Some companies show only the main parts of the bill – electricity and grid rent – while others break the bills into several elements. You therefore pay enova support and consumption tax even if it is not specified on the bill.

Also read: Snorts of the state’s electricity package: – It’s still a theft

On Thursday, there will be protests against electricity prices in many cities in Norway, from Harstad in the north to Kristiansand in the south. There will also be demonstrations outside the Storting, which are under the auspices of the “We who demand cheaper electricity” group on Facebook, with over 580,000 members.
You can follow the demonstrations at Nettavisen on Thursday morning.

Also read: High prices for a long time, expert believes: – Now the seriousness begins to come

While the state now pays out temporary electricity subsidies, sky-high electricity bills also lead to sky-high electricity taxes. In the example below, which is a spot agreement with a monthly consumption of 2961.74 kWh, the temporary electricity benefit is NOK 2172.44, while the total tax to the state (VAT, enova support and consumption tax) is NOK 1982.51.

– There will hopefully be updated rules during the year that further standardize the information and make it easier to understand and gain control over what you pay, says legal senior adviser Thomas Iversen in the Consumer Council to Nettavisen.

In the picture below, the electricity bill is marked with numbers that have their explanation just below the picture.

The electricity bill consists of two main parts: Mains rent and electricity.

Mains rent is paid to the company that owns and operates the mains where you live. The electricity price is paid to the company that sells the electricity to you. You can select the power provider, but not the network provider.

The explanation follows below the picture:

Communications consultant Frode Fjellstad in Fjordkraft has explained the company’s own account. It is divided into a number of elements. The two main elements are grid rent and electricity. Many electricity customers have one electricity supplier and another network supplier.

1.

Name of your power agreement (here Spot Web). Senior legal adviser Thomas Iversen in the Consumer Council tells Nettavisen that some electricity companies write the contract name on the bill. If this does not appear, you can find the name of “My page” or contact the company. The name makes it possible to check how good your agreement is, for example on strompris.no.

2.

Any monthly fixed amount (here it is zero).

3.

The surcharge (here it is 2.99 øre / kWh) which is agreed between the customer and the electricity company. The surcharge is added on top of the electricity price. This is where the power companies make their money.

4.

Monthly fixed amount of electricity (here it is zero).

5.

The price of electricity. This consists of the price that the electricity company pays on the Nord Pool power exchange, plus the surcharge (2.99 øre / kWh, see point 3). It is this link that makes the electricity bill sky high for many. This example is a spot agreement where the price of electricity follows the power exchange. Since the electricity price is constantly changing in the market, the price – here 224.13 øre / kWh – is an average for the entire period.

Also read: Got an electricity bill of 217,000 kroner: – Very worried

6.

Total electricity price. Note the bracket where it says “of which VAT 1327.60”. This is a tax on the price of electricity that goes straight to the state. Sky-high electricity price means sky-high tax. In this invoice, VAT is more than half of the temporary electricity benefit (item 9).

7.

Grid rent fixed amount. This amount is fixed and will not be affected by your consumption. The price here is 2050 kroner per year, which will be 174.11 for 31 days this month.

8.

The grid rent, or “energy link” calculated on the basis of your consumption. In this case, you pay 20.86 øre / kWh. It is therefore variable. If you use a lot of power, this part will be correspondingly higher.

9.

Temporary electricity benefit. This is deducted from the grid rent. The amount of aid is calculated as follows:

  1. The starting point is the average spot price ex. VAT. in your price range last month. For this example, the price is 176,689 øre / kWh (NO5).
  2. The average price minus 70 øre (the government’s set threshold point) is 106,689 øre.
  3. The government covers 55 percent of this difference in December. 106,689 øre x 0.55 = 58.67895 øre, which is the support amount ex. VAT.
  4. 58,67895 øre x 1.25 (VAT) = deduction 73.3486875, shown on this invoice as 73.35 øre / kWh
  5. 73.35 øre x 2,961.74 kWh = 2,172.44

Also read: The government is increasing electricity subsidies from 55 to 80 percent

The government will increase support from 55 per cent in December to 80 per cent in January, February and March. In this invoice, the new deduction would be NOK 3,169.

10.

Consumption tax to the state, which is 20.86 øre / kWh. It amounts to 617.89 tax kroner on this tax.

11.

The Enova fee is 1.25 øre / kWh and gives an additional 37.02 tax kroner on this bill.

12.

Total grid rent. In this case, the sum is minus 736.25 kroner. This is because the temporary support is higher than the grid rent. Those customers who have one electricity supplier and another network provider receive money back from the network provider. In this case, the payout would have been NOK 736.25.

The online newspaper has written this case about just that: Half a million customers have to wait for the power subsidy: – We can not spend a billion

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