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Resources 13
Electricity prices: International comparisons


(from " Restructuring and Privatisation in the Public Utilities - Europe" published by ILO).

The available data on electricity prices does not confirm the theory that electricity is cheaper where privatisation is most advanced. The table shows international price comparisons published by the UK Electricity Association, which suggest that the variation in price levels does not correlate with the ownership of the systems.

Electricity is relatively cheap for domestic consumers in Greece and Ireland, which have introduced no privatisation or liberalisation; and relatively expensive in Germany and Belgium, which both have substantial private sector involvement. Domestic prices in the most privatised country, the UK, are about average.

For industrial consumers, France and the UK, with very different systems, have about the same level of prices.


Table: Electricity Prices at 1 January 1996

(UK pence per kWh)

Country

System mainly private (P) or public (S/M)

Company

DOMESTIC

INDUSTRY

Austria

S/M

EVN

12.44

7.23

Belgium

P

National

15.01

6.46

Denmark

S/M

SEAS

13.76

4.48

Finland

S/M

Helsinki

7.83

4.29

France

S/M

EdF

13.38

5.21

Germany

P

North

15.85

8.70
 

P

West

11.45

7.33
 

P

SouthWest

13.75

7.69

Greece

S/M

PPC

7.90

4.86

Ireland

S/M

Urban

8.57

5.06
 

S/M

Rural

9.06

-

Italy

S/M

ENEL

11.99

6.89

Luxembourg

P

CEGEDEL

11.56

5.43

Netherlands

S/M

Average

10.69

5.26

Norway

S/M

Oslo Energi

5.84

2.90

Portugal

S/M

EDP

12.01

6.40

Spain

S/M

National

12.65

6.08

Sweden

S/M

Vattenfall

9.49

3.12

England/Wales

P

North

9.23

4.99
 

P

Central

9.75

5.87
 

P

South

8.42

4.91

Scotland

P

  

9.02

5.29

Northern Ireland

S/M

  

10.85

6.15

Source: Electricity Association, International Electricity Prices Issue 23 (1996)

Note: The domestic tariff refers to the standard tariff at 3,300 kWh/yr