Electricity tendering is something that concerns every Finn. Electricity contract tendering is the biannual act of a price-conscious consumer. The importance of tendering for electricity can be compared to that of financial products.

Listening to Finnish radio and TV advertising, it seems that lenders are born like mushrooms in the rain. Comparing the various loans offered by these companies is essential, but did you know that there are over 80 different electricity distribution companies in Finland? It is very laborious and time-consuming to go through these electricity distribution companies, but it is possible to bid for electricity.

The electricity bill itself is the sum of three entities. These entities are the transfer price of electricity, electricity and taxes. VAT and electricity are about 30% of the average consumer bill. The transfer also accounts for about one third of the total bill. You can go sahkosoppari.fi for the best Sähkön kilpailutus to make a green electricity contract and get involved in the climate fight.

Price of electricity

The price of electricity, or the price of electricity , varies greatly. The price of electricity is affected by the location, the grid and, above all, the type of electricity contract. Yle reported on August 26, 2019 that by 2028, according to the Electricity Market Act, electricity companies must also build a power grid in sparsely populated areas, where power outages last for a maximum of one and a half days at a time. The requirement to build weather-proof electricity networks all over Finland may increase consumer prices. Price differences can increase, especially between rural and urban areas.

Consumers are rarely able to influence the electricity grid in use and few go to resettle because of the price of electricity. Careful selection of the type of electricity contract and competitive tendering of electricity is therefore important.

Electricity contract tendering

Tendering for an electricity contract is possible but requires a little effort on the part of the consumer. When it comes to the private consumer, the share of electricity sales can be competitive, but transmission fees cannot be affected.

Electricity transmission and related charges, or grid charge, include electricity supply and maintenance of local power grid. The owner of the local network company collects the transfer fee and maintains and develops the network with payments. This part cannot be competed by the consumer.

The electricity transmission fee, or the network fee, shall include the supply of electricity and the maintenance of the local electricity network. This part cannot be competed by the consumer.

When comparing electricity contracts, the consumer provides basic information to the comparison service, and the service provides a list of possible options. Some competition services ask for more information and may tailor bids more closely. Others provide a simplified list of options from which the consumer can choose the provider of his choice.

When electricity tendering is timely, pay attention to at least the following:

-Sales price of electricity, cents / kWh
-Fixed price or consumption
-Contract for a fixed or indefinite period
-Termination of the contract, when you can terminate the ---contract
-Electricity generation, hydro, wind power or something else
-Company reliability

Make it affordable

Green electricity contract

Over 1,500 electricity contracts have already been signed through Sahkosoppari.fi. Through our green electricity contract, you can reduce your carbon footprint.

Author's Bio: 

Auctions and tendering schemes for renewable energy sources (RES) are competitive mechanisms for allocating financial support to RES projects, usually on the basis of the cost of electricity production.