Summer electricity prices hit highest level since 2022 energy crisis

Electricity prices in Denmark have reached their highest summer level since the 2022 energy crisis, according to figures from Andel Energi cited by DR.

While the average electricity price in June, July and August from 2023 to 2025 stayed below 0.7 kroner per kilowatt-hour, it has remained above that level throughout this summer.

“Apart from February, 2026 prices have been significantly higher every month when compared with both 2025 and 2024,” Josefine Walter, commercial director at Andel Energi, said in a press release.

The Danish energy company attributes much of the increase to geopolitical unrest. The conflict between Iran and the United States, which began on 28 February, has contributed to the Strait of Hormuz, a sea passage through which about one-fifth of the world’s oil and gas is transported, being closed for long periods and remaining closed.

Sunny summer limited price increases

Denmark produces substantial amounts of electricity from sources such as solar and wind, but electricity is also traded across national borders.

According to the outlet Faktor, about 20 per cent of Germany’s electricity production is based on gas. Denmark trades electricity with Germany, and the closure of the Strait of Hormuz is also pushing up Danish electricity prices through its impact on the gas market.

Andel Energi said a warm and sunny summer had helped prevent electricity prices from rising even further.

“But as we look towards autumn, when solar production falls and the heating season begins, we risk facing a fairly serious situation,” Walter said.

Andel Energi does not expect prices to rise to the same extent as during the energy crisis from August to October 2022, when energy prices were at times up to ten times higher than before the crisis.