From 1 January 2024, transmission network operator Elering will reduce the renewable energy charge used for funding renewable energy support from the current 1,13 cents to 1,05 cents/kWh excluding VAT. In addition, the Estonian VAT rate will change from the beginning of 2024. The new VAT rate is 22%.

The renewable energy charge will decrease 0,08 cents per kilowatt-hour, or 7%. This is possible particularly thanks to the surplus funding of the previous period, as the production of renewable energy in 2023 has been lower than what was forecasted. This year’s solar and wind conditions as well as the biomass electricity production have remained below the average.

The renewable energy charge is a charge determined by the state, the purpose of which is to support the production of environmentally friendly electricity generated from renewable energy sources or in an efficient cogeneration process in Estonia.

More information about the renewable energy charge can be found on the website of Elering.

From 1 January 2024, Estonia will apply a new VAT rate of 22% instead of the current 20%. This is a tax change introduced by the state and it is mandatory for all companies operating in Estonia.

As a result, all prices, and charges of Elektrilevi will change as much as the VAT rate increases. Network service invoices for December issued in January are still based on the current VAT rate. Network service invoices with the new VAT rate will reach customers in February. The new price lists of 2024 can be found here: https://www.elektrilevi.ee/et/abiinfo/hinnakirjad