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Russia to import energy from Finland

Importing energy to Russia is becoming more profitable. Photo: Atle Staalesen

High electricity prices make Russia switch from energy exporter to importer.

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Russian commercial operator “Inter RAO” will start buying electric energy from Finland in 2014. The first volume of imports will not be sufficient, but can increase due to high energy prices in Russia.

Russia used to be the electricity exporter to Finland until beginning of this year. In 2012 Russian export decreased on 60% due dramatic drop in price at Nord Pool – trade site for Scandinavian energy systems. In January 2013 the same reasons made Finland stop in buying energy from Russia for several hours, RBK Daily reports.

Currently both sides test the equipment, work out the rules of trade, and discuss the economic side of the project.They are to regulate the main issue – what tariff shall be used for selling energy from Finland. The country sells only electricity and has one-part tariff, and Russia operates on two-part tariff, selling electricity and volume.

“Inter RAO” underlines Russia will import Finnish electricity only when it economically reasonable – in particular months and hours.

Electricity is mainly produces on hydropower plants in Finland, so several times a year, when there is much water, the price falls down. The minimum price was in June last year, then electricity in Finland cost €13,67 per 1 MW, meanwhile in Russia the price was about €33 per 1 MW.