Per capita electricity demand in Europe 2023, by leading country

The Nordic countries of Iceland, Norway, Finland, and Sweden recorded the largest electricity demand per capita in Europe over the last few years. In 2021, Iceland’s per capita electricity demand averaged at over 52 megawatt-hours per person, more than twice the consumption of runner-up Norway. Meanwhile Germany, the largest electricity producer among the European Union countries, had an average per capita consumption of 6.2 megawatt-hours in 2023.

Why is electricity consumption so high in Iceland?

The intense electricity consumption in Iceland stems from a combination of factors. On the one hand, due to its abundant natural resources, hydro and geothermal are the main sources of electricity generation in Iceland, allowing the country to produce power at high reliability and very low costs. Meanwhile, on the demand side, Iceland is home to some particularly energy-intensive industries – in 2023, it ranked among the largest aluminum smelter producers worldwide. To top it off, electricity demand is also high on the household sector side, due to the Nordic country’s long, dark, and cold winters. A similar combination of factors can also be found in Norway.

How cheap is electricity in Iceland?

In 2023, household electricity prices in Iceland averaged between 15.3 and 18.5 euro cents per kilowatt-hour, depending on the level of demand. In comparison to the average household electricity price in the European Union in the same period, it was around 45 percent cheaper. Iceland had one of the lowest residential electricity prices in Europe. On the other side of the spectrum, Germany, Denmark, and Belgium reported the highest prices in the region.