The electricity market is traded in the Estonian region either through the Nord Pool Spot electricity exchange or on the basis of agreements between the producer and the consumer.
The consumer is assisted by a data exchange platform managed by the system operator Elering, through which a person who has signed a network contract can view their consumption data and contracts. There, electricity sellers can be authorised to view their consumption data, on the basis of which electricity sellers can make personalised price offers.
Nord pool electricity exchange
Estonian electricity system
Estonia is connected to Russia via three 330 kV lines, and to Latvian electricity systems via two lines of the same capacity. Since the end of 2006, there has been a direct current connection EstLink 1 with a capacity of 350 megawatts between Estonia and Finland.
At the beginning of 2014, the EstLink 2 cable was put into use, which increased the total power of the electricity connection between Estonia and Finland to 1,000 megawatts. This ensures sufficient capacity of the connections for the efficient functioning of the electricity market and the unrestricted movement of electricity between the Baltic and Nordic countries. Current information about this can be found on the website of the system operator Elering.
Elering is also responsible for the operation of the electricity system as a whole and ensuring high-quality electricity supply.
Electrical grid
The task of the main grid is to transport electricity over large distances, bringing electricity producers close to consumers. This also includes international connections. The main grid uses high voltages to transport energy. In Estonia, they are 110, 220 and 330 kV.
In Estonia, the entire main grid (transmission network) belongs to AS Elering. Connections to neighbouring countries are jointly owned by Elering and the main grid company of the respective neighbouring country.
In the distribution network, electricity is delivered directly to consumers, i.e. the electricity delivered by the transmission network is distributed to consumers. The voltage levels used in the distribution network are much lower, from 0.4 to 35 kV in Estonia.
There are more than 30 distribution network operators in Estonia, which manage more than 65,500 kilometres of low and medium voltage lines. All of them have an obligation to provide the consumer with a high-quality electrical connection and quick elimination of faults.
If there are problems with the electrical supply
In the event of problems with the electrical supply, it should be checked whether the network operator complies with the regulation of the Minister of Economy and Communications on the quality requirements of network services and the reduction of network fees in case of their violation.
The requirements for network services are divided into the following categories:
- Service – requirements for operations and the time allotted for them.
- Reliability of the electrical supply – requirements for the time of restoration of the electrical supply in the event of an interruption and the duration of interruptions permitted for one place of consumption per year.
- Voltage quality – when ensuring the voltage quality of the distribution network, it is recommended to follow standard EVS-EN 50160:2010.
Market regulation
In Estonia, the electricity market is regulated by the Electricity Market Act and the Network Regulations, which contain requirements for electricity producers, sellers, network operators, line operators, balance managers, the organiser of the electricity exchange and consumers, as well as the Competition Authority, which supervises the market.
The Competition Authority is obliged to publish a report on the electricity and gas market in Estonia every year.
The Competition Authority also coordinates the tariffs of network operators and checks that the investments reflected in them are reasonable and ensure the reliability and sustainability of the network.
Last updated: 02.07.2023
