District Heating Prices Surge Again Amid Aggressive Increases

For the second year in a row, the district heating prices are soaring. The average price increased by nine percent between 2024 and 2025, and the year before it was even worse. There is no way to protect customers from such aggressive increases, says Rikard Silverfur, chairman of the Nils Holgersson group.

» Published: Wed 10 Sept 2025 06:00 CEST

District Heating Prices Surge Again Amid Aggressive Increases
Photo: Johan Nilsson/TT

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9.2 percent – the second-highest price increase in 30 years. This was the result of the district heating companies' price increases in 2025, only surpassed by last year's record increase of 15.2 percent. In five years, the price of heat has risen by an average of 40 percent or 4,500 kronor per year for an apartment.

For a residential building, heating is often the largest or second-largest expense item, depending on how high the interest costs are.

A increasingly larger part of the costs is being placed on district heating. Then other things have to be prioritized down, and then households also have less room to put their money on other things. If you're going to take it even further, the houses will deteriorate, says Rikard Silverfur.

Lack of explanation

District heating companies have a certain form of monopoly. Yes, it is possible to switch to other heating alternatives, and Rikard Silverfur thinks he sees such a development. But it's not easy and not free.

District heating has its lock-in effects and it's not entirely easy to switch, he says.

Silverfur lacks, above all, an explanation for why prices are soaring. Fuel costs have risen, that's obviously an explanation, but it doesn't explain the enormous price differences that appear in the Nils Holgersson group's annual measurement.

Some municipalities have increased by around 30 percent in just the last year. Compared to the most expensive municipality, Älvdalen, the district heating price is not even half as high in the cheapest, Luleå.

"Tuta and köra"

There are no clear price patterns between municipal/private and large or small networks, according to Rikard Silverfur. On the other hand, some individual district heating companies stand out clearly in the statistics. Solör Bioenergi has the 27 most expensive district heating networks in the country.

"Aggressive price behavior", Silverfur calls Solör's actions, who is also the CEO of Fastighetsägarna.

When asked if it's too easy to make money in the district heating industry, he replies:

It's at least too easy to raise prices. It's just a matter of "tuta and köra" with high prices.

Therefore, he welcomes the investigation that politicians previously appointed to examine the pricing in the district heating industry.

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By TTEnglish edition by Sweden Herald, adapted for local and international readers

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