While predicting price movements for the fall, Konrad Hanschmidt, speaking on the "Terevisioon" mornign show, described the current situation as the "storm before the calm." He noted that the Estlink 2 electricity cable between Estonia and Finland is expected to be operational again soon. According to Hanschmidt, once it is back online, electricity prices this fall and winter could be lower than last year.

"For instance, the price of CO2 is lower than it was last year, as is the price of gas. Last fall and winter, the price was around 10 cents per kilowatt-hour (€100 per megawatt-hour – ed.), but now it could drop slightly," Hanschmidt suggested.

He also mentioned that the overall electricity price this summer has been slightly lower than last summer. Earlier this year, Hanschmidt, who analyzed electricity prices on ERR channels, predicted that the annual electricity price in Estonia would be slightly cheaper than last year, a forecast he still stands by.

"But the fact that we have a cable breakdown and such fluctuations shows that we are in a dangerous period. When consumers consider their package options, I've always been a supporter of the spot market package. However, the price difference between spot and fixed-price packages is no longer as significant as it was a few years ago," the energy expert noted.

On Tuesday evening, the price of electricity on the spot market in Estonia will rise to €500 per megawatt-hour, following Monday evening's price of over €450 per megawatt-hour.

Hanschmidt believes that the critical price threshold for electricity is €200-250 per megawatt-hour, but recent peak daytime prices have repeatedly and significantly exceeded this. "This indicates a shortage of electricity production on the market, and everyone is holding their breath a bit. Such high, sudden spikes are not normal. The fact that we are seeing these peaks shows that the electricity market is in a very critical state," Hanschmidt commented.

He also mentioned that if the Auvere Power Plant, currently under maintenance, had been operational on Monday, prices could have been 50 percent lower. "One power plant across the entire Baltics has a significant impact, and that is a dangerous situation. The good news is that Estlink 2 is expected to be back in operation this week, which will bring in a lot of affordable electricity, allowing us to get cheaper electricity from Finland during difficult peak times."

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