This is about money from so-called congestion fees accumulated at Svenska kraftnät as a result of high electricity prices and large price differences between southern and northern Sweden. The EU has rules that limit member states' right to give money to companies via state aid, and therefore a special approval was needed even though these are fees paid by electricity customers themselves.
"This will allow Sweden to address the liquidity shortage for electricity consumers in southern Sweden and limit the impact of the increasing electricity costs they have been hit by as a result of the current geopolitical crisis," said Competition Commissioner Margrethe Vestager.
Should be able to apply by the end of May
The government, with Minister for Energy and Enterprise Ebba Busch (KD) and Finance Minister Elisabeth Svantesson (M) at the front, has said that the ambition is for companies to be able to start applying for support from the Swedish Tax Agency on 30 May. In that case, it will be seven months after the date that the current government parties and the support party SD promised in the election campaign that a support model would be in place, also for companies.
Ceiling of SEK 20 million
The Swedish Tax Agency will be able to start paying out money as early as June, provided that the applications are correctly filled in and meet the requirements. The support will compensate for high electricity prices during the period October 2021 to September 2022 and will be provided with a fixed penny amount per kilowatt hour consumed. Fixed-price agreements and tax liabilities may affect the support and there is a ceiling of SEK 20 million.
The European Commission has reviewed the model to ensure that the support complies with the rules for state aid to companies and the temporary rules for emergency support for high energy prices.