Average electricity price in 2025: 61 øre per kilowatt-hour

Danish electricity consumers have paid an average of 61 øre per kilowatt-hour of electricity in 2025. This is the second-lowest electricity price in the past five years, according to a new report from Green Power Denmark.

Only in 2024 was the price lower, with an average of 53 øre. According to energy analyst Kristian Rune Poulsen from Green Power Denmark, Danish electricity prices are competitive in a European context:

“We pay slightly more than the other Nordic countries, which benefit from cheap hydropower, but compared with most of Europe, our prices are quite reasonable,” he says.

More renewable energy leads to lower prices

Electricity price developments are closely linked to the supply of power from solar panels and wind turbines. When production from renewable energy sources is high, prices fall. Conversely, electricity prices rise when fossil-fuel power plants are brought into operation—especially on cold, dark, and windless days.

In Denmark, wind and solar energy now account for around 60 percent of electricity consumption, which often helps keep prices down. During the spring and summer of 2025, consumers in Western Denmark in particular experienced a record number of hours with negative electricity prices, mainly due to high solar power production.

Large fluctuations – but batteries on the way

Although overall electricity prices are low, the power system has in recent years been characterized by large price fluctuations. However, Green Power Denmark expects developments to increasingly lead to more stable prices:

“Batteries are now being integrated into the power system, and they will help smooth prices over the course of the day and throughout the year,” says Kristian Rune Poulsen.

Reduced electricity tax from 2026

From 1 January 2026, Danish households can look forward to lower electricity bills. The Danish parliament has decided to reduce the electricity tax to the EU’s minimum level, which will significantly lower the total price paid by consumers.

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