Latvian electricity market overview

In February 2024, the average electricity price in the Latvian bidding area decreased to EUR 74,78 per megawatt hour (EUR/MWh), which is 36% less than in January, while compared to February 2023, the price is 34% lower.

Highlights in February :
  • Electricity prices decreased in all three Baltic States in February - in Estonia by 40% to EUR 75,52/MWh, and in Lithuania, as in Latvia, by 36% to EUR 74,78/MWh, the lowest price since May 2023;
  • In February, average electricity prices also decreased in all other Baltic interconnected trading areas - in Finland by 51% to EUR 51,58/MWh, in Sweden's 4th Zone by 34% to EUR 49,24/MWh and in Poland by 19% to EUR 75,95/MWh;
  • The price decrease was mainly driven by warmer weather, which contributed to lower electricity consumption, lower gas prices and the onset of flooding in Latvia's rivers, which contributed to higher electricity generation in hydroelectric power plants;
  • Compared to the previous month, the volume of electricity imported to the Baltic States decreased by 18% overall. Electricity imports decreased by 15,2% from Poland, by 44,9% from Finland due to the disconnection of the Finnish-Estonian EstLink-2 interconnector, while imports increased by 2% from Sweden;
  • In 2024, a total of 335 774 GOs were issued in the Latvian Domain for GOs, 38% less than in the first two months of 2023.

Raw data can be downloaded here.

Electricity production and consumption balance in Latvia* :

The information will be published immediately after its available, but no later than 20.03.2024.

Interconnection load and electricity prices

Bidding area

Average price in February 2024, EUR/MWh

Compared to previous month, %

Average price in February 2023, EUR/MWh

Lowest hourly price in February 2024, EUR/MWh

Highest hourly price in February 2024, EUR/MWh

Lowest daily price in February 2024, EUR/MWh

Highest daily price in February 2024, EUR/MWh

NPS Finland

51.58

-51%

80.13

-2.50

249.94

0.94

152.17

NPS Estonia

75.52

-40%

113.12

4.02

250.00

31.12

141.18

NPS Latvia

74.78

-36%

113.77

4.02

250.00

31.12

133.75

NPS Lithuania

74.78

-36%

114.70

4.02

250.00

31.12

133.75

NPS Sweden (SE4)

49.24

-34%

91.75

-2.50

136.22

0.97

88.63

Poland

75.95

-19%

136.78

10.82

132.81

34.75

103.17

Price comparison between neighbouring bidding areas

Comparable bidding areas

Hours with the same price in February 2024, %

Compared to previous month (percentage points)

Hours with the same price in February 2023, %

NPS FI & EE

22.3%

-37.3

41.4%

NPS EE & LV

97.7%

2.9

97.8%

NPS LV & LT

100.0%

1.5

96.4%

NPS LT & SE4

13.8%

-20.1

44.2%

Load of the Baltic States interconnections

Interconnection

Average load in February 2024, %

Compared to previous month (percentage points)

Lowest daily load in February 2024, %

Highest daily load in February 2024, %

LV -> LT

9.2%

-14.7

0.0%

38.3%

EE -> LV

0.4%

-14.8

0.0%

2.8%

LT -> LV

13.9%

-0.6

0.0%

55.0%

PL->LT

46.0%

-4.8

0.0%

98.7%

LT->PL

19.8%

-8.5

0.0%

75.3%

SE4->LT

97.9%

8.1

77.5%

100.0%

FI->EE

80.8%

22.0

0.0%

100.0%

LV>EE

29.2%

1.5

5.4%

90.2%

EE>FI

11.2%

0.6

0.0%

93.0%

LT>SE4

0.0%

-0.2

0.0%

0.0%

Electricity import to the Baltic States

 

February 2024, MWh

Compared to previous month, %

February 2023, MWh

Import from third countries

0

0.0%

0

Import from EU countries, including:

835 819

-18.0%

1 035 239

From Poland

157 558

-15.2%

17 561

From Sweden

476 885

2.0%

407 548

From Finland

201 376

-44.9%

610 129

GUARANTEES OF ORIGIN (GOs)
Statistics of the activity in the Latvia Domain for GOs

Transaction type

February 2024, MWh

Compared to previous month, %

February 2023, MWh

Issued GOs

129 947

-36.9%

248 275

Cancelled GOs

55 501

-35.4%

68 852

Imported GOs

55 914

64.0%

35 583

Exported GOs

73 682

-32.8%

153 529

GO Transfers internally

129 132

215.2%

86 167

Expired GOs

1 463

342.0%

2 656

BALANCING MARKET IN THE BALTIC STATES
Highest and lowest bid prices

 

Estonia

Latvia

Lithuania

 

Upward

Downward

Upward

Downward

Upward

Downward

Highest price, EUR/MWh

452.5

225

300

10

880

140

Lowest price, EUR/MWh

32.42

-20

100

-10

35.2

-277

Total activated energy

 

Upward

Downward

 

Total activated energy in February 2024, MWh

Compared to previous month, %

Total activated energy in February 2024, MWh

Compared to previous month, %

Estonia

1 093

-72%

2 640

-58%

Latvia

1 756

116%

2 974

7%

Lithuania

9 148

4%

12 923

-36%

Finland

575

-13%

5 784

-42%

Sweden

218

-60%

7 362

3%

Average hourly standard bid size

 

Average hourly standard bid size in February 2024, MW

Compared to previous month, %

Hours with no standard bids in February 2024, %

 

Upward

Downward

Upward

Downward

Upward

Downward

Baltic States

566

244

-3%

-22%

0%

0%

Estonia

19

16

-54%

-41%

0%

7%

Latvia

33

31

23%

-27%

32%

35%

Lithuania

514

197

0%

-18%

0%

0%

In case of any doubts, questions or inaccuracies, please contact us at [email protected]

The information contained in the Market Overview is provided for informational and educational purposes only. Nothing contained in the Market Overview is to be construed or used as a basis for investment or as a basis for any claims against AST. 


Abbreviations and designations used:

LV - Latvia trade area, LT - Lithuania trade area, EE - Estonia trade area, PL - Poland trade area, FI - Finland trade area, SE4 - Sweden's fourth trade area, AT - Austrian trade area, BE - Belgium trade area, DE-LU - German- Luxembourg trade area, FR - France trade area, NL - the Netherlands trade area, DK1 and DK2 - Danish 1. and 2. trade area.

Load = monthly total commercial flow in kWh / monthly total net transfer capacity in kWh ("Net Transfer Capacity" NTC).

Nord Pool is a Nordic electricity exchange where, based on market principles, the electricity price of the Latvian trading area is determined.

Guarantee of Origin (GO) is an electronic document, that proves the origin of the generated electricity. GOs are uniquely identifiable, transferable, and therefore tradable and used (by cancellation) to provide information of supplied energy to the end-consumer. One GO = 1 MWh generated and injected into the grid that has an expiration of 12 months after the end of the production period.

* Here and in the following review, the electricity produced is the electricity injected into the grid and the electricity consumed is the electricity received from the grid for consumption.