August 2022 has surpassed all previous monthly price records for electricity in Norway, according to energy news outlet Europower.
Southern Norway got an average monthly price of 434 øre per kWh throughout the month, while eastern Norway saw an average of 344 øre per kWh.
Europower reports that while higher peak prices have been reported, the continued high prices were unprecedented and shattered all previous monthly records.
However, energy prices will likely continue to skyrocket this winter, public broadcaster NRK reports.
NRK reports that prices could potentially double from record levels, with costs of up 20 kroner per kWh not out of the question.
Estimates for sky-high prices this winter were provided by energy analyst Tor Reirer Lilleholt.
“Yes (prices could rise to 20 kroner per kWh), but this is a rather extreme scenario. But I have stopped believing there is a ceiling on the electricity price. A month ago, 5-6 kroner were quite hefty prices, and ten kroner was somehow unthinkable. But now this ceiling has been moved quite high,” Tor Reier Lilleholt, an analyst with Volue Insight, told NRK when asked about the possibility of prices reaching 20 kroner this winter.
A mixture of the war in Ukraine, low reservoir filling levels and power cables that export and import energy to and from the continent have all contributed to sky-high energy prices.
Norway relies on hydro-power to meet its energy needs. However, reservoir filling levels in parts of Norway have been at the lowest for more than 20 years.
Lilleholt said that without the war in Ukraine, the price of energy would be around 50 øre per kWh.
In an earlier analysis of energy prices, Lilleholt said that foreign export cables made up around 25 percent of the current price.