Network Charges – what are they and how will the new model affect your business?

The new grid model that will be introduced in Norway from 1 July 2022 will also result in changes to grid tariffs for some business customers. In the new model, customers are grouped according to the size of their consumption. Business customers with a consumption of less than 100,000 kWh per year will receive one type of grid rent, while business customers with a consumption greater than 100,000 kWh per year will receive a different type of grid rent.

The network lease for all business customers with consumption below 100,000 kWh will consist of three parts: the capacity part , the energy part and public fees .
A short explanation of these comes here:

• The capacity level is determined by how much electricity you used at most within one and the same hour. (((The highest hourly value is calculated as the average of the three hours in the month (distributed over three different days) that you have used the most electricity at the same time.))) Business customers with consumption below 100,000 kWh per year must comply with the same step-by-step model as private and household customers.

• The energy rate is determined by how much electricity the company uses in total (total number of kWh per month), and when the customer uses the electricity. The energy rate is discounted between 10:00 PM and 6:00 AM.

• Public taxes, such as consumption tax and ENOVA tax. Here it may be a good idea to check whether your business is eligible for an exemption from or a reduced electricity tax. If so, you must submit documentation of this.

For some businesses, this change will result in an increase, and for others a reduction, in grid rent. Businesses that use the grid evenly and avoid power peaks will benefit most from the change. Businesses that use a lot of electricity for short periods during a month will be disadvantaged if the business does not have significant opportunities to adjust its electricity use.

All business customers with annual consumption over 100,000 kWh will receive a grid rent consisting of four parts from the new year:

Fixed term , power term based on actual power usage per month, energy term based on how many kWh were consumed last month, as well as public fees such as consumption tax and ENOVA fee .