Vattenfall and Ellevio Announce Significant Electricity Network Fee Hikes, Triggering Consumer Outcry and Political Response

Starting January 1, 2026, major Swedish utility companies Vattenfall and Ellevio will implement substantial increases in electricity network fees, affecting households nationwide. Vattenfall plans a 14% rise for electricity-heated homes, translating to approximately 130 SEK more per month for villas and 35 SEK for apartments. Ellevio’s average hike is around 5%, with a more complex scheme—villa customers face a roughly 10% increase, combining an 8% rise in the fixed fee and a 12% increase in the variable fee, while apartment charges vary but average to a smaller increase.

Both companies attribute these fee increases to necessary and significant investments in Sweden’s electricity grid infrastructure. Despite this rationale, consumer response has been overwhelmingly negative, with many describing the hikes as 'horrible.' Håkan Larsson from the homeowners’ association Villaägarna highlighted members' outrage, noting such price jumps would be untenable in a competitive market, especially considering the current inflation rate of about 2%.

The regulatory authority Energimarknadsinspektionen has struggled to effectively control such fee escalations, often facing legal challenges from network companies against efforts to limit revenue increases. From 2024 to 2025, the average electricity network fee increase in Sweden is projected at 10.6%, the highest since records began in 1996.

Political backlash has emerged, with the Left Party (Vänsterpartiet) announcing plans to summon Vattenfall's leadership to the parliamentary economic committee to address the issue. Birger Lahti, the party's energy policy spokesperson, criticized the hike for disproportionately impacting the most financially vulnerable consumers, who will face an extra annual cost of around 1,500 SEK.

Additionally, Fastighetsägarna, an organization representing property owners, condemned the price hikes and criticized the regulatory framework that permits such steep increases, describing the model as flawed. This complex situation underscores the challenge of balancing critical infrastructure investments with affordability and consumer protection in Sweden's electricity market.