New Year Brings Power Market Deregulation, New Excise Levels
This year, electricity bills are expected to rise about 20 percent for the average home consumer in connection with the opening of the household segment of the power market on January 1, ETV reported.
In other changes on the administrative front this year, the tobacco excise increased 6 percent and alcohol excise duty, by 5 percent.
On the other side of the ledger, land underlying people's primary homes is now exempt from land tax.
A household that consumes 200 kilowatt-hours of power a month will likely see its monthly bill go up by five euros.
Hando Sutter, representative for the power market Nord Pool AS in Estonia, said the case of large consumers, who have been able to buy electricity on the open market for two years now, shows that the average price has held fairly steady.
"The monthly average price has been relatively stable, at a little more than 40 euros. Compared to the established price, which is 31, it is definitely more expensive. But on one says that it will definitely remain as it is now - 42 euros," he told ETV.
Currently consumers can select from among seven providers: Eesti Energia, Elektrum, 220 Energia, Imatra, VKG, Elektrimüügi AS and Eesti Gaas.
Most have opted to stay with the former monopoly, Eesti Energia. As of December 30, the state-owned company had signed more than 386,000 contracts.