Home HomeSwedenLivingWorld world_2_fill WorldBusiness BusinessSports sports-soccer SportsEntertainmentEntertain

The price of district heating is skyrocketing – "price shock"

The price of district heating continues to rise sharply. In some municipalities, it has increased by over 30 percent this year. This is really remarkable, says Joachim Höggren, chairman of the Nils Holgersson group.

Published: 18 September 2024
The price of district heating is skyrocketing – "price shock"
Photo: Johan Nilsson/TT

In 2023, the Nils Holgersson group, consisting of organizations such as Bostadsrätterna, Hyresgästföreningen, and Sveriges Allmännytta, saw an average increase in district heating prices in the country of 7.8 percent.

This was the highest increase ever during the 30 years the report has been compiled. For 2024, the increase is almost double - an average of 15.2 percent.

We were ourselves surprised when we saw these figures, says chairman Joachim Höggren.

Fear for the Future

According to the report, prices have increased by over 20 percent in 79 municipalities, and in 23 municipalities, they have risen by over 30 percent. But it looks very different in different municipalities.

In the major cities of Stockholm and Gothenburg, it is lower than average: 12 and just over 9 percent, respectively. In Malmö, it is an increase of just under 1 percent.

It is different, however, in Åstorp municipality, where the price has increased by 39 percent. In Örkelljunga, it is almost 38 percent, and in Hultsfred, it has risen by 33.1 percent.

This year's figures mean a record price shock, says Joachim Höggren.

He believes that district heating companies need to become better at increasing transparency around prices and more clearly explaining to consumers how they are set.

We notice that there is concern about the long-term viability of district heating. District heating has an important position in Sweden, but the companies need to take a closer look. If you have this type of price shock, it's clear that you as a consumer start wondering if it's really the right heating method.

Setting Demands

Furthermore, politicians - both at the local and national level - need to keep a closer eye on the district heating market going forward.

Politics needs to protect consumers' interests more clearly and could do so by setting higher demands on transparency.

How the price situation will change next year is difficult to say. In some parts of the country, companies have already announced 2025 prices.

Above all, we are worried about the announcements that more companies are making linked to the need for investments in their networks. That can come more and then it will probably affect the price, says Joachim Höggren.

Municipalities with the largest price increases:

1. Åstorp: 39.0 percent

2. Vimmerby: 38.6 percent

3. Örkelljunga: 37.8 percent

4. Kalix: 36.5 percent

5. Aneby: 36.0 percent

6. Tibro: 35.0 percent

7. Valdemarsvik: 34.8 percent

8. Hultsfred: 33.1 percent

9. Bjuv: 32.9 percent

10. Alvesta: 32.6 percent

Source: Nils Holgersson report 2024

Places
People
Organisations
TTT
By TTThis article has been altered and translated by Sweden Herald

More news

PRO on the budget: "It's appalling"
2 MIN READ

PRO on the budget: "It's appalling"

The Crown is weak – interest rate cuts in Norway delayed
1 MIN READ

The Crown is weak – interest rate cuts in Norway delayed

"MP: Fudging the numbers on climate"
1 MIN READ

"MP: Fudging the numbers on climate"

How Your Economy is Affected by the Budget
2 MIN READ

How Your Economy is Affected by the Budget

Government: Lowered Taxes Boost Sweden
3 MIN READ

Government: Lowered Taxes Boost Sweden

Svantesson's next challenge: Unemployment
2 MIN READ

Svantesson's next challenge: Unemployment

Setback for Electric Car Demand in Europe
2 MIN READ

Setback for Electric Car Demand in Europe

Profit warning from electronics manufacturer
1 MIN READ

Profit warning from electronics manufacturer

Broad stock market rise following Fed's double rate cut
1 MIN READ

Broad stock market rise following Fed's double rate cut

Slow in e-commerce – more choose foreign low-price
1 MIN READ

Slow in e-commerce – more choose foreign low-price

The Budget: Lower Taxes to Support Households
3 MIN READ

The Budget: Lower Taxes to Support Households

Smooth Sailing in Asia after Fed's Double Cut
1 MIN READ

Smooth Sailing in Asia after Fed's Double Cut

Downward trend in the USA after Fed's double rate cut
1 MIN READ

Downward trend in the USA after Fed's double rate cut

Expert: Monetary Policy Exclamation Mark from Fed
2 MIN READ

Expert: Monetary Policy Exclamation Mark from Fed

Double rate cut by Fed – more cuts await
2 MIN READ

Double rate cut by Fed – more cuts await

VW to close car factory in China by 2025
1 MIN READ

VW to close car factory in China by 2025

High-Cost Protection for Medicines Deteriorates
1 MIN READ

High-Cost Protection for Medicines Deteriorates

Increase in housing starts in the USA
1 MIN READ

Increase in housing starts in the USA

GM starts selling adapter for Tesla chargers
1 MIN READ

GM starts selling adapter for Tesla chargers

14 Percent Pay Rise for British Train Drivers
1 MIN READ

14 Percent Pay Rise for British Train Drivers