The electricity price subsidy – here’s everything you need to know

Households can look forward to electricity subsidies in February if all goes according to plan. The companies are probably forced to wait longer for the money. Here we explain twelve common questions about the electricity price subsidy.

Who receives the electricity price subsidy?

To receive the electricity subsidy, you must meet three criteria:

  • You must be an electricity user who buys electricity for your own use in Sweden. It is called that you are an “electricity customer”, and that group includes not only private individuals but also, for example, companies, associations and communities.
  • You must have a separate agreement with an electricity grid company for a so-called withdrawal point at a certain time, which is called a break point. The support will go to the social security number, coordination number or organization number that was on the electricity network agreement on 17 November 2022.
    What is the withdrawal point then? Yes, the outlet point is the connection between your electrical installation and your electricity company’s electricity network.
  • Your electrical installation must be connected to the electricity grid in southern Sweden, in electricity area SE3 or SE4.

Who does NOT receive electricity price support?

There are three groups that do not receive any electricity support:

  • Electricity users in the two northern electricity areas SE1 and SE2 will be without. The support is calculated based on the user’s consumption from 1 October 2021 to 30 September 2022 in electricity areas where the average price was higher than a so-called “national reference price” of 75 öre per kWh. And the average price of electricity was not “high enough” in northern Sweden during that period. In SE1 and SE2, the average price was 43 and 46 öre per kWh, respectively. (See question about national reference price.)
  • If electricity is included in your rent, no support money will be paid directly to you. You don’t have your own electricity network agreement. But your landlord or housing association, which receives the support, can of course choose to distribute the money to you and your neighbours.
  • People on the EU’s sanctions list do not receive support money.

Electric element. Photo: Hasse Holmberg/TT

National reference price – what is it?

The electricity subsidy is paid in electricity price areas where the average price of electricity during the period from October 2021 to September 2022 was higher than a so-called “national reference price”.

Svenska Kraftnät has calculated that the national reference price is 75 öre per kWh. That price level is approximately 25 percent higher than the highest average price in the last ten years. They have also taken into account the total amount that has been weighted towards the support, approximately SEK 55 billion of Svenska kraftnät’s bottleneck revenue.

A lower reference price would have meant more money for the electricity users – and then the financing would not have been enough.

How much electricity price support do I get?

It depends on where you live.

  • In electricity area SE3, the average price was 125 öre per kWh of electricity during the period October 2021 to September 2022. That is 50 öre more than the national reference price of 75 öre per kWh, see question 3. You therefore receive 50 öre for each kWh you used during the period.
    This is how you calculate your compensation in SE3:
    SEK 0.5 x (your electricity consumption in kWh from 1 October 2021 to 30 September 2022.
    For example, if you live in Eskilstuna and used 20,000 kWh, you will receive SEK 10,000.
  • In electricity area SE4, the average price of electricity was 154 öre per kWh during the period October 2021 to September 2022. That is 79 öre more than the national reference price of 75 öre per kWh. You therefore receive 79 öre for each kWh you used during the period.
    This is how you calculate your compensation in SE4:
    SEK 0.79 x (your electricity consumption in kWh from October 2021 to September 2022)
    If you live in Ystad and used 20,000 kWh, you can look forward to SEK 15,800.
  • If you live in northern Sweden in electricity areas SE1 and SE2, you will not receive any money at all regardless of how much electricity you used.

Why does northern Sweden get no electricity price subsidy?

The support is intended to be a retroactive high-cost protection for the high electricity prices that prevailed from October 1, 2021 to September 30, 2022. And the average price of electricity was not “high enough” in northern Sweden during that period.

The support is only paid where the average price was higher than a so-called “national reference price” of 75 öre per kWh. In SE1 and SE2, the average price was significantly lower during the period: 43 and 46 öre per kWh, respectively. (See question about national reference price.)

What electricity area do I live in?

In 2011, Sweden was divided into four electricity areas from north to south. On the map you can see the division for the four areas SE1–Luleå, SE2–Sundsvall, SE3–Stockholm and SE4–Malmö.

Electricity price ranges in Sweden. Illustration: Jonas Askergren

Do I get electricity price support for the holiday home in addition to the permanent home?

Well done. Provided you have your own agreement with the electricity grid company both at home and in the summer cottage, buy electricity for your own use – and both houses are in the electricity grid in southern Sweden, in electricity area SE3 or SE4.

The requirements are described in more detail in the first question. about who receives the electricity price support.

I have a fixed electricity price – do I still get electricity price support?

Answer yes. If you meet the requirements in question 1, you will receive support. Your outlet point must be connected to the electricity grid in electricity area SE3 or SE4, you must have your own agreement with the electricity grid owner and buy electricity for your own use.

For example, if you live in Malmö, you will receive 79 öre for every kWh you have consumed from October 2021 to September 2022 – regardless of what you have paid for the electricity.

Do I get support if the electricity is included in my rent?

No, if the electricity is included in your rent, no support money will be paid directly to you. You don’t have your own electricity network agreement.

But your landlord or housing association, which receives the support, can of course choose to distribute the money to you and your neighbours.

Solar cells on a villa in Uppsala. Archive image. Photo: Fredrik Sandberg/TT

I have solar cells and have both used and sold solar electricity – how big will the electricity price support be?

The same rules apply to you as to everyone else: you receive support for the amount of electricity that your electricity installation has taken from the electricity grid during the period October 2021-September 2022. But you do not receive support for the self-produced electricity that you have sold to the electricity grid or yourself used.

Your electricity meter keeps track of the amount of electricity taken from the grid and how much electricity is fed into the grid. If during the twelve-month period you took 15,000 kWh from the electricity grid, you will receive support for 15,000 kWh, regardless of how much electricity from your solar panels you sold and used for your own use.

How do I get electricity price support?

You do not need to apply for the electricity subsidy or contact either Svenska kraftnät, your electricity company or the Social Insurance Agency, which handles the payment of subsidy money to households.

If someone were to contact you and ask you to identify yourself with a bank ID in order to withdraw your money, it is a fraud attempt.

Försäkringskassan is now creating a system for the electricity subsidy.

The idea is that the money should be paid directly to your account – if you have an account in a bank from which Försäkringskassan has procured banking services. Others will receive their electricity subsidy paid with a payment notice.

When will the money arrive?

The plan is for payments to households to start in February 2023. When companies, organisations, associations, municipalities and other electricity customers will receive their support is still unclear.

The article will be updated when more information about the support becomes available.


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