Impact on electricity prices of added generation in southern Sweden

The study finds that greater capacity to produce electricity in southern Sweden would likely have reduced prices significantly during the autumn of 2021. If, hypothetically, Ringhals 1 and 2 had been operating, prices in SE3 and SE4 during September-November 2021 could have been 30-45% lower than observed. Similarly, with an additional 3.5 GW of offshore wind capacity in SE4, prices in SE3 and SE4 could have been 35-50% lower than observed in the same period. Grid bottlenecks are the main reason for the large price reduction in southern Sweden – most of any additional power generation would have been ’trapped’ in southern Sweden.