Trends in network fees

The price of the network service, or network fee, will help to cover investments for the maintenance and renewal of the electricity network. For example, we carry out important works such as constructing a new power grid, maintaining and repairing equipment, and maintaining line corridors, as well as maintaining power consumption measurement equipment, power system management and operation information systems, and much more. The more network service pricing engages customers to think about their actual needs, the more reasonable the grid volume and also the more affordable the price. As a result, network charges are moving towards a higher share of fixed charges and this has already significantly increased the efficiency of the network service.

Changes in 2020

The packages Network 1 and Network 2 apply a monthly fee if the main fuse is between 32 A and 63 A

A monthly fee applies to all Network 1 and Network 2 packages starting from the year 2020, with a main fuse 32 A-63 A, at all consumption locations. The size of the main fuse can be verified under the network contract and check its compatibility with the main fuse calculator.

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An additional fee to maintain the old power system in Tallinn was applied

The second change concerns those points of consumption in Tallinn that are located in the so-called old-power or 220 V power system network (some buildings in the North Tallinn, Central, Kristiine district). As of October 1, 2019, a fee for maintaining the old power system has been added to the consumption points where more than three years have passed since the completion of the new power system and the switch to the new power system has not yet been made. All customers affected by the power system maintenance fee have been notified by us.Red more.

What has changed in network fees in 2019?

Starting from January 1, 2019, we lowered the price of our network fee. This was made possible by increasing the efficiency of the network service and reducing costs.

  • The average price dropped. Prices fell by an average of 8%, including a 6% fall for residential customers and a 9% fall for businesses. The change was different between packages.
  • The monthly fee for home-based packages decreased. The share of the monthly fee increased, which allowed us to significantly reduce the price of the transmission service (kWh consumed).
  • Prices for several additional network-related services(such as switching and fuse replacement) also decreased.
  • In business packages network charges decreased primarily due to lower transmission charges. For energy-intensive businesses, we have introduced new packages that offer significantly lower network charges at higher volumes than before. The network fee is part of the electricity bill, you can read about the formation of the bill here.
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    How is the price drop possible?

    The price of the network service is cost-based and subject to public oversight: as the cost of providing the service changes, the price of the service will also be revised.

    Elektrilevi has made significant changes to reduce costs and increase the efficiency of the service. In 2018, we applied a fixed fee to places of consumption where there was no or very little consumption. This change significantly increased the efficiency of the grid, 3% of unused grid capacity has been abandoned and more than 2000 grid contracts terminated in places where electricity was not consumed.

    Are you in the most affordable package?

    You can always check whether the package of your choice is the best value for your consumption or whether you should consider changing your package. The most convenient way to do it is to check your package in Elektrilevi self-service. There you can also change your package if you wish to do so.

    Changes in 2020

    The fixed fee includes the cost of maintaining and upgrading the network and its exact cost depends on the size of the main fuse, ranging from € 4.4 to € 7 per month. The implementation of the fixed fee is related to the fact that the costs of developing the power grid are directly dependent on the size of the main fuse, so it is not reasonable to maintain a grid which is excessively stocked and unused. Võrk 1 and Võrk 2 packages are particularly suitable for consumption points with small consumption and the use of a big main fuse is not generally required at such consumption points (for comparison: the average main fuse of a private home is 25 A and for a summer house, 16 A is usually sufficient). By choosing the right fuse size, we can provide you with a more efficient and optimized network service. To do this, we advise you to carefully consider what power connection you actually need at your point of consumption, taking into account possible changes in the near future, such as the introduction of new household appliances or other electrical appliances, etc.

    You can within three years of exchanging the size of the existing main fuse, with network connections up to 63 A, restore it if necessary:

  • if the network does not need reinforcement (i.e there are few network members), the cost of resetting the fuse equals the cost of replacing the fuse
  • if the network needs reinforcement, the cost of restoring the fuse will depend on the actual cost of upgrading the network
  • The monthly fee also applies to the point of consumption in an apartment building if the distribution part of the fuse in the connection point of the apartment building (or building) is 32 A or more (sales of distributed network service). Generally, the fuse part of the connection point of the apartment building has a distributed part to an apartment or general lighting between 2 and 5 A.

    What has changed in network fees in 2019?

    What has changed for the home customer (points of consumption up to 63 A)?

    We offer five different network packages for private homes, apartments, cottages and smaller commercial buildings (collectively called home customers). Depending on the proportions of night and day consumption, either the Võrk 1 or Võrk 2 packages are suitable for places with lower consumption. In case of higher consumption, Võrk 3 and Võrk 4 packages are suitable options. For average consumption, we recommend choosing the Võrk 2 monthly fee plan. The current network package and its suitability for your monthly consumption can be checked from Elektrilevi e-service.

  • In Võrk 1 and Võrk 2 packages, the average price of the network service decreased by 3% from the beginning of 2019.
  • In the packages with monthly fee, Võrk 2 with monthly fee, Võrk 3 and Võrk 4, the share of monthly fee increased and the price of kWh decreased significantly, which decreased the network fee by 9% on average.
  • The prices of several additional services also decreased. Among other things, changing and switching of the main fuse became more favourable. As an innovation, we have added a price list to turn the power on and off remotely, which is way cheaper than commuting. We can provide this solution thanks to remote reading meters. Prices for additional services can be found in general price list.
  • What has changed for companies (over 63 A and medium voltage)?

    The average price for companies decreased by almost 9%, mainly due to the decreasing kWh price. The only exception was the reduction of transmission charges for network connections with medium-voltage substations, since the cost of these connections was already at the cost of providing the service. In all other places of consumption, transmission fees decreased, and we created new option packages for energy-intensive businesses.

    Businesses operating on medium voltage

    The price of medium voltage consumption points decreased by 8% on average. In addition, we launched a new package for energy-intensive businesses (suitable for around 100 companies) with a higher percentage of fixed component than other packages. The new package has made it possible to reduce the total cost of network fee for energy-intensive companies by around 13%.

    Companies operating on low voltage

    The price of low voltage consumption points decreased on average by 9%. In addition, we introduced a new package for energy-intensive businesses (suitable for around 100 companies) with a bigger fixed component. This will make it possible to significantly reduce the overall cost of network services for energy-intensive businesses. As of today, the total cost of network services can be reduced by about a quarter.

    Why did the price decrease in the packages with higher consumption?

    The change in network charges was smaller at points of consumption where kilowatt-hours were consumed less, and prices fell more for larger consumers. Such pricing will make it possible to significantly reduce the overall cost of network connection for energy-intensive businesses.