Regulatory & complianceNew⏱ ~1 minNO

Electricity subsidy

Strømstøtte Stromstotte Electricity subsidy Electricity support scheme

Norwegian state scheme covering part of a household’s electricity cost when the market price exceeds a threshold.

Definition

The electricity subsidy is a scheme under which the state covers a share of the electricity price above a given level for households. What matters for a settlement system is not the rate but the RESOLUTION: the subsidy is calculated from the price in the period the consumption actually occurred, not from a monthly average applied at the end. That means consumption and price have to sit together in time before the subsidy can be calculated. The subsidy is deducted on the customer’s invoice, while the settlement itself happens between the company and the state - the two sides have to agree, and they rest on the same basis.

In practice

In practice the subsidy is where older billing systems struggle most, because it requires hourly consumption and hourly prices to sit together and to be reproducible after the fact. A system that only knows the monthly total cannot calculate the subsidy correctly, and cannot answer how it was calculated either. The rules have also changed several times since the scheme began, and each change applies from a date. A settlement redone six months later must therefore use the rules that applied THEN, not the ones that apply now. The deduction must also be visible and auditable on the invoice, since that is what the customer holds when something needs explaining.

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Electricity subsidy

Definition

In practice

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