Publisert 23.05.2016 , sist oppdatert 29.11.2021

Retail market

The Norwegian retail market for electricity covers all household and business consumers that purchase electricity through a retailer or a broker.

The Norwegian retail market for electricity is a well-functioning market. There are several retailers, a wide selection of contracts and moderate switching activity. NVE-RME supervises the retail market in accordance with provisions under the Energy Act and adjoining regulations. As a regulator, NVE-RME works to ensure that the retail market is well-functioning and easy for consumers to engage with.

The retail market has been affected by major developments since 2015, as a result of new regulations from NVE-RME. A common theme for these changes is the digitalisation and the Nordic regionalisation of the retail market.

In 2015, the Norwegian Consumer Council launched a new price comparison tool for the retail electricity market. NVE-RME implemented new reporting regulations for the tool under the Energy Act, which came into force that year.

In 2016, the Nordic Balance Settlement (NBS) mechanism came into operation. This is a common balance settlement mechanism between Norway, Sweden and Finland, operated by eSett Oy in Finland.

  • The implementation of NBS has been recommended by NordREG (an organisation for the Nordic energy regulators).

In 2017, Statnett launched Elhub, a new centralised database for electricity meter data from smart meters, simplifying the market structure and putting consumers in control of their data. NVE-RME has mandated the development of Elhub through regulatory amendments.

  • The implementation of data hubs in the Nordic region has been recommended by NordREG.

In 2019, the roll-out of smart metering was  completed for all metering points in Norway. NVE-RME has facilitated smart metering through regulatory amendments, which also specify requirements for functionality.

NVE-RME is currently developing new regulations for the implementation of a supplier centric model, making retailers the main point of contact for consumers in the retail market.

  • The implementation of a supplier centric model is recommended by NordREG.

In 2021, legal and functional unbundling will apply to all DSOs irrespective of size. A new unbundling leglisation was enacted by the Norwegian Parliament in March 2016 and entered into force 1 January 2019.