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District heat price period changes – price will rise in the autumn season

The energy price of district heat in the autumn season will be EUR 66.63/MWh (0% VAT) and EUR 82.62/MWh (incl. 24% VAT) as from 1 October 2021.

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Price in the autumn season 2021

The energy price in the autumn season will be EUR 82.62/MWh (incl. 24% VAT), which is 29.9 per cent higher than in the autumn season last year. The energy price for district heat is revised four times a year, and the new price is always compared with the previous year’s corresponding season.

Some of the price increases in district heat have already taken place in the early part of the year and in the summer season. The rise in the price level of district heat is due to the increase in excise duty at the turn of the year, as well as the exceptionally strong growth in the price of fuels, emission allowances and electricity at the same time. The market prices or tax levels of these commodities is beyond Helen’s control.

The district heating costs of a typical apartment in a block of flats (84m2) will rise by EUR 15 per month compared to the price in the autumn season last year, and the total heating costs will be about EUR 76 per month. Standard buildings of Finnish Energy have been used in the calculations.

  Increase in heating costs (€/month) Total heating costs (€/month)
Apartment (84 m2) 15 76
Terraced house (113 m2) 20 105
Detached house (200 m2) 36 217

District heat prices are updated four times a year

The price of district heat consists of the fixed water flow fee and the seasonal energy fee. The energy fee is updated four times a year: at the beginning of January, March, May and October. This determines the seasonal price of the energy fee for district heat. The energy fee covers variable costs related to heat production and distribution. These costs include, e.g. the costs of the energy sources, energy taxes, emission allowances, and electricity consumption.

Fixed-Priced District Heat – reliable heating, predictable budgeting

District heat customers can also choose the Fixed-Priced District Heat product. A fixed price brings stability to the budget, and the customer gets a clear and predictable view to the price of heating energy for the next three years.

Read more about fixed district heat

How will district heat develop in the future?

Helen’s district heat is on its way to being fully carbon neutral. The fossil energy used at the moment is subject to excise duty and emission allowances. In the long term, the price pressure will be reduced as a result of Helen’s investments in renewable energy.

From the beginning of next year, the tax class of heat pumps will change and the level of taxation will be reduced. Helen is making a strong move towards district heat that is produced with non-combustion-based methods and where taxation is very low in comparison with fossil fuels.

In the short term, Helen will optimise the mutual use of different energy sources in order to minimise the rise in costs.

Read more about the pricing of district heat

Published: 06.09.2021 10:37
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