The price of room heating will drop further in Paide

The Competition Authority has approved Enefit Green's application to lower the maximum heat price in the city of Paide. As of September 1, the price of room heating in Paide will be 76.46 euros per megawatt-hour.

Innar Kaasik, member of the board and head of production at Enefit Green, said that this is the second price drop this year. "The negotiations that have taken place in recent months and the results of the fuel procurement allow us to lower the price of room heating before the heating season begins. Wood chips are the main fuel at the Paide cogeneration plant, and if its price drops, we can also offer our customers more favorable conditions," Kaasik explained.

Kaasik added that Enefit Green has consistently increased the efficiency of the Paide cogeneration plant with both digital and technical solutions, and this has ensured continuity of operations during the energy crisis. "Thanks to domestic renewable fuel, we have been able to offer Paide residents room heating at a competitive price in difficult market conditions. We are ready for the upcoming heating season, the necessary scheduled maintenance at the plant has been carried out and reserve quantities of wood chips have been stocked," commented Kaasik.

As of September 1, 2023, the new heat price cap in Paide will be 76.46 euros per megawatt-hour, instead of the previous 82.93 euros per megawatt-hour, plus VAT. This means a 7.8 percent price drop for consumers.

The price of heat in Estonia is regulated by the District Heating Act, and the ceiling price for heat sold to the Paide network area is determined based on a cost-based formula. The ceiling price formula is approved and the cost-based nature of the ceiling price for heat is checked by the Competition Authority.

There are a total of nearly 200 district heating areas in Estonia. The activities of district heating companies and the price of the service are under the supervision of the Competition Authority. In Estonia, the price of heat is regulated by the District Heating Act, and the ceiling price of heat sold to the Paide network area is determined based on a cost-based formula. The ceiling price formula is approved and the cost-based nature of the ceiling price of heat is checked by the Competition Authority.

Enefit Green is one of the leading renewable energy producers in the Baltic Sea region. The company's shares are listed on the Nasdaq Tallinn stock exchange and the company has nearly 63,000 investors. Enefit Green owns wind farms in Estonia and Lithuania, cogeneration plants in Estonia and Latvia, solar farms in Estonia and Poland, a pellet plant in Latvia and a hydroelectric power plant in Estonia. The company is currently building five wind farms in Estonia, Finland and Lithuania and three solar farms in Estonia and Poland with a total capacity of 608 megawatts.