Norway To Cut Energy Links With EU Amid Soaring Prices

Norway's energy minister, Terje Aasland, has expressed outrage at the country's skyrocketing electricity prices, which are now six times higher than the EU average, Doloresz Katanich reported for Euronews.

Critics argue Norway should prioritize domestic energy needs over exports, as was the norm for decades. I Photo: Equinor Facebook

The ruling coalition parties are considering severing two electricity interconnectors linking Norway with Denmark when their contracts come up for renewal in 2026, according to the Financial Times. 

The smaller coalition partner, the Center Party, is also advocating for a review of similar energy links with the UK and Europe.

Electricity prices in Norway's southernmost region have spiked to over 13 kroner (€1.12) per kilowatt hour in peak hours, compared to the EU’s 2024 average of €0.1867 per kWh. Critics argue Norway should prioritize domestic energy needs over exports, as was the norm for decades.

Hydropower dominates Norway's energy production, but roughly 10% of its electricity supply comes from wind power, largely imported from the continent.

Recent low wind levels in Germany and the North Sea, coupled with low temperatures in Norway, have caused EU power price surges to spill over into the Norwegian market. Prices in northern Norway remain low due to its reliance on abundant local hydropower.