How to choose an electricity plan in Estonia

The price per kilowatt-hour helps compare offers, but it does not tell you how much your final bill will be. Choosing an electricity plan in Estonia requires an understanding of your consumption, the contract terms and charges billed separately. Start by downloading the last 12 months of usage data. It is a more useful basis for a decision than a claim about the cheapest plan in an advertisement.

What makes up an electricity bill

Electricity and its delivery are covered by separate arrangements: an electricity contract with the supplier and a network contract with the network operator. Changing supplier therefore does not automatically change the network tariff. For each offer, record the energy price, supplier margin, monthly fee and treatment of taxes. Check network charges separately. ^[1]

Use one comparison table containing the plan name, price or pricing formula, recurring fee, contract duration and early termination conditions. If one offer includes taxes and another excludes them, put both on the same basis before comparing the amounts.

When to consider a fixed price

A fixed-price plan makes the cost of the energy itself easier to budget. It can suit a household that needs to use appliances at particular times and cannot readily move consumption to other periods. The total bill will still vary: usage changes, and the contract does not necessarily fix network charges or taxes. ^[1]

Before signing, check when the fixed period ends. Ask which plan will apply afterwards and how the supplier will notify you of new terms. Also clarify what happens if you move home or switch supplier early. Keep the offer and contract terms in the form in which you accepted them.

What matters with an exchange-linked plan

With an exchange-linked plan, the energy price moves with the market; a margin and recurring fee may be added. Moving some consumption to other periods can help manage spending, but it does not guarantee savings every month. A single day of unusually low prices is not a sound basis for choosing a contract. ^[1]

The relevant prices are those in the periods when you actually used electricity. The average market price for a month can differ from your consumption-weighted average. Estonia uses 15-minute market intervals; hourly readings from an older meter may be divided into four parts. Ask your network operator which data are used for your billing. ^[2]

Comparing two offers using your own figures

Take your actual consumption for each month and apply the terms of each offer. For a fixed-price plan, calculate the energy cost from usage and the kilowatt-hour rate, then add the monthly fee and other contractual charges. Treat network services and taxes consistently in both calculations.

Look separately at months with low and high consumption. A fixed monthly fee represents a different share of each bill, so a lower unit price does not always produce a lower total. Include the whole year rather than only the heating season.

Assess an exchange-linked plan against your historical consumption pattern, adding the margin and recurring charges. This estimates past costs under the selected model. It does not predict future exchange prices.

What to prepare before switching

Review annual consumption, the share used in winter and whether the property has electric heating. List the appliances whose operating times you can realistically change. Then request offers for comparable periods and compare the full cost.

If consumption has increased substantially without an obvious explanation, first consider checking equipment settings and the condition of the electrical system. The Ärirada directory can help you find companies servicing domestic building systems. Give the contractor a description of the problem and your usage data so that the discussion concerns a specific task.