Finnish Electricity Customers to Shift From Hourly to Quarterly Pricing
HELSINKI, Finland – Major Finnish electricity providers Fortum, Helen, and Vattenfall are transitioning customers with variable electricity prices from hourly pricing to pricing per quarter, a change designed to reduce volatility and ease consumer stress, according to statements provided to news agency STT. The shift aims to smooth out dramatic price fluctuations seen with the current system, were costs can swing significantly from one hour to the next.
The move doesn’t eliminate dynamic pricing entirely. Hourly-based agreements will remain possible if explicitly stated in the contract, and not tied to broader finnish price areas.Experts believe the change will allow consumers to better optimize electricity use, particularly those utilizing automated consumption controls for heating or electric vehicle charging.
“In general, when price changes become smaller and smoother, the stress around the electricity price can decrease slightly,” explains pekka Salomaa, an expert on the Finnish electricity market. He emphasizes that the overall cost of electricity is not expected to increase or decrease as a result of the change.
Most Finnish electricity meters have already been upgraded to support fifteen-minute readings, a prerequisite for the new quarterly pricing structure. Older meters must be updated or replaced by 2028. Currently, Helen reports 60 percent of meters in Helsinki are equipped for quarterly measurement, with the remainder scheduled for updates before October. Vattenfall indicates approximately 75 percent of its customers have compatible meters, while Fortum reports around 50 percent.
For customers whose agreements switch to quarterly pricing but whose meters still measure hourly consumption, the hourly usage will be evenly distributed across the four quarterly blocks. This transition reflects a broader effort to adapt to evolving energy market dynamics and provide more predictable pricing for consumers.