Electricity Market Turbulence: Price Fluctuations in Wholesale Electricity Markets in Finland

Abstract

During recent years wholesale electricity markets have undergone a profound change. There have been many reasons behind this transformation from the shift of electricity production structure to energy crisis due to war in Ukraine. This paper provides comprehensive analysis of the changes in electricity price variation in day ahead, future and imbalance markets during the last years in Finland. Paper focuses on these markets because these markets constitute the most significant costs for electricity retailers and household end customers. The analysis shows that price variation in these markets has increased enormously.