Opinion: Remember to give the tariffs a makeover #green-tax-reform

First published: September 8, 2020: When the Danish politicians this fall negotiate green tax reform, they should look at #tariffs. Nothing is stronger than a well-designed price signal when you want to promote flexible energy consumption, writes Henrik Madsen in this opinion in Teknologiens Mediehus GridTech.

Today, tariffs make up a large part of the Danish consumers’ electricity bills. The pure electricity price is approx. 15%, tariffs approx. 20% and the rest are energy taxes. If politicians want consumers to change electricity consumption, it is also necessary to look at tariffs when negotiating green tax reform so that they set up a sensible incentive structure that encourages people to change behaviour.

Denmark should have a system where the price is high when there are capacity problems, large grid losses and so on. And low when there are no problems in the network.

See the Danish text here

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