As electricity prices in the three Baltic states soared to more than double that of Finland on Tuesday, Eesti Energia has pointed the finger at high demand in Latvia and Lithuania.
“Many events have occurred in June that have raised the wholesale price of electricity above usual levels,” Eliis Vennik, a spokesperson for Eesti Energia, told Äripäev on Tuesday, specifying that the decisive factor at the moment is strong demand from Latvia and Lithuania.
Vennik noted that two electricity production units at the company's Narva plant are also currently under repair, leading to a lower than usual supply.
Deputy Secretary General for Energy at the Ministry of Economic Affairs Ando Leppiman told Äripäev that the ministry and the Competition Authority are investigating the abnormally high prices.
He said the other Baltic states are not producing energy at full capacity, meaning Eesti Energia is alleviating Latvian and Lithuanian energy deficits, and that the two states could be cooperating in driving up prices.
Leppiman said one possible solution in the future would be to synchronize production facility maintenance works among the countries, so that power stations are not all offline at the same time.
Nord Pool Spot, which runs the energy trading market in the region, reported prices of 103.85 euros per megawatt hour in the Baltics on Tuesday, but prices in Finland and Norway were around 50 and 30 euros, respectively.