The average electricity price has been 61 øre in 2025.
This is what Green Power Denmark writes in a press release based on a calculation by the industry organization.
According to the organization, this is the second lowest average electricity price in the past five years, and a cheap price compared to the rest of Europe.
- 61 øre for a kilowatt-hour is definitely a competitive electricity price. We pay a little more than they do in the other Nordic countries, which have cheap hydropower.
- But compared to the majority of European households and companies, Danish prices are quite reasonable, says Kristian Rune Poulsen, an energy analyst at Green Power Denmark, in the press release.
The lowest electricity price in the past five years was in 2024, when it was 53 øre.
Ten to 15 years ago, the electricity price was between 30 and 35 øre per kilowatt-hour.
Fossil fuels and coal
According to Green Power Denmark, the rising price since then is due to the fact that it has become significantly more expensive to use fossil fuels such as coal and natural gas to produce electricity.
- The difference is clearly visible. When wind turbines and solar cells cover consumption, the electricity price is low. When the European power plants turn on the boilers, the price increases significantly, says Kristian Rune Poulsen.
According to him, we in Denmark are "beneficiaries" of the fact that wind turbines and solar cells cover almost 60 percent of our electricity consumption.
- That is why it is often the sun and the wind that set the price on the electricity market, he says.
The industry organization expects the price of electricity to become more even throughout the day and year in the future.
This is because we in Europe have closed power plants and installed more solar cells and wind turbines.
Furthermore, batteries are making their way into the electricity system, and according to Kristian Rune Poulsen, they will contribute to equalizing electricity prices.
Must be reduced to a minimum
As part of the new Finance Act, a majority in the Danish Parliament has just passed a bill that the tax on electricity prices is to be reduced to the EU's minimum.
This will take place from January 1st and will result in a cheaper electricity bill for private consumers.
The electricity bill in Denmark is made up of three payments. This is the payment to the electricity company, the grid company and the energy company.
The price of the electricity itself constitutes approximately 35 percent of the total electricity bill.
The price depends on factors such as taxes, VAT and payment for the transport of electricity.
/ritzau/
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