The heating company Fortum Termest cleared a 40 percent price rise with the Competition Authority for several parts of Tallinn, including downtown, Pirita and northern Tallinn.
The highest rate will be in Laagri, where district heating will cost 66.88 euros per megawatt hour.
A competing company, Tallinna Küte, charges the same rate - which is higher than Fortum's average - throughout town. In November, the city heating utility will also bump prices up from 57.51 euros per megawatt hour to 59.73 euros.
In a statement from Fortum, the company attributed rising consumer prices to the increasing cost of electricity, firewood and gas in recent years.
Fortum relies mostly on gas, the cost of which changes monthly depending on the value of the dollar and other factors. In two years, the cost of gas has doubled, the company's statement said.