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Industry in uproar over electricity prices

Published onsdag 1 november 2006 kl 12.18
Too expensive, say some

Despite the wintery weather, busloads of demonstrators arrived in central Stockholm today to demonstrate against high electricity priceswhich they say are devastating power intensive primary industries in Sweden.

Before the demonstration, representatives handed over a petition to the Minister for Industries, Maud Olofsson.

in which they call for the government to pressure the state owned and largest producer of electricity in the country to introduce a discount for bulk customers. They say the situation is acute and is forcing many companies to consider shifting electricity-intensive parts of their production outside of Sweden.

Many of the Sweden’s companies are already freed from paying tax on the the electricity they consume. Despite this however electricity costs for many commercial consumers have doubled since the electricity market was de-regulated in 1996.

Economists put the price rise down to a marked lack of competition - with the power generation market being divided up between a small number of big players.

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