New nuclear plant in Finland causes 75% drop in electricity prices

The commencement of regular output from a much-delayed Finnish nuclear reactor in April saw electricity prices in the country decrease by more than 75 percent. The Olkiluoto 3 (OL3) nuclear plant completed the transition from testing to regular output last month to become Finland’s first new nuclear plant in more than four decades. It is expected to produce up to 15 percent of the country’s power demand. Comment: In a rather worrying sign as to the state of Finland, this project was initially set to go live in 2009 but a variety of ‘technical mishaps sparked costly delays and a lengthy legal battle’. And while the plant’s production is still in its early days, its launch has had a considerable effect on Finland’s energy prices, lowering the electricity spot price in the country from €245.98 per megawatt-hour (MWh) in December to €60.55 per MWh in April, a reduction of more than 75 percent, according to physical electricity exchange, Nord Pool.