Higher power prices shift Norway's price support cost to 4.3 billion

Norway's government now faces a 4.3 billion kroner increase in costs for the price support scheme due to soaring electricity prices. The revised calculation shows the scheme will run a 4.3 billion kroner surplus this year, despite higher expenses. The price support scheme was designed to shield consumers from volatile energy costs. Rising power prices have driven up payments from the government to maintain the scheme. At the same time, the same high prices have boosted tax revenues from energy producers. The government had budgeted for a smaller surplus. The new estimate reflects both the increased support payments and the higher tax income. Officials confirm the numbers in the latest budget revision. Energy analysts note the unusual situation where higher costs for one policy lead to greater income for the state. The surplus does not change the scheme's structure but affects the overall budget balance. The government will now adjust its financial planning for the year. The revised figures will be included in the next monthly budget report. Source: tu.no