Denmark has a competitive electricity market, with many providers and pricing models. But it is also what makes it difficult to navigate. Choosing the right provider (elselskab) and plan can save you money and ensure you avoid hidden fees. This guide will help you navigate key factors and find the cheapest provider with the best service.

To find the best electricity provider for you, consider factors like pricing and fees of course, but also contract terms and customer service. Consumer watchdog Forbrugerråddet placed Go Energi, Altid Energi, Vestforsyning and Gasel at the top of its ranking in 2024, for companies with variable price plans.

Switching is easy

You might be unhappy with your plan but otherwise happy with your supplier: in this case, it is worth checking if their other plans suit you better. Most large companies have both fixed and variable plans, and sometimes several in each category. But if you are considering switching to a different electricity supplier altogether, read on.

Switching electricity providers in Denmark is straightforward. Once you sign up with a new provider, they handle the transition with your current provider, ensuring no service interruption.

You can choose when to start the delivery of electricity, though the new company generally needs at least 1-2 weeks of notice. Before switching, check your current contract for any termination fees or notice periods.

Since January 2021, all electricity meters need to be smart meters, which means that no one needs to physically come into your apartment / house and read the meter during the transition. It’s a good idea to take a picture of the meter display on the switching date, for reference.

Once you have made the switch, your previous electricity provider must send you a final settlement (slutopgørelse) within six weeks, accounting for any outstanding charges or refunds. Some providers delay this process, so remember to follow up if necessary.

Key factors to consider

As I explain in Understand Your Electricity Bill in Denmark and Save Money, you can only influence a part of what you’ll pay for electricity, whoever the provider. The market price of electricity (spotpris or indkøbspris), government taxes and grid fees remain the same regardless of the provider.

However, providers and plans differ mainly in the following ways:

Fixed or variable plans

A provider can have a cheap variable plan but a disadvantageous fixed plan. Therefore, it is important that you decide what type of plan suits you and your household needs.

For more details, see our article Fixed or Variable Electricity Plans in Denmark: How to Choose.

”Spottillæg” and subscription

I go through these fees in detail in our previous article mentioned above.

In short:

  • if you subscribe to a variable plan, spottillæg (sometimes called tillæg) is a surcharge added the market price of electricity (spotpris),

  • the subscription (abonnement) is a fixed amount you pay each month

You obviously want these to be as low as possible. As a rule of thumb, if you use under 5000 kWh electricity per year, aim for a low subscription or no subscription fee at all. With higher consumption, you want to prioritise a low spottillæg or none at all (i.e. electricity at market price).

Not all suppliers make it easy to find the spottillæg, so independent comparison websites are really helpful here.

Other fees

Check also what the supplier charges for you to pay your bill via the method of your choice (Betalingsservice, MobilePay, card payment, etc.).

Unfortunately, some companies hide additional costs in separate fees lists, under names like netadministrationsgebyr, nethåndteringsgebyr or handelstillæg. They keep the pricing opaque - some would say intentionally… A lot of companies are good at keeping their pricing model simple and transparent, while still being competitive, so MoneySavvy’s personal advice is to steer clear of suppliers with these extra fees.

How long are you bound to the contract?

Check how long you would be bound to your electricity supply contract. In Denmark, the maximal amount of time you can be bound to contract is 6 months. You are always allowed to switch, and being bound will not prevent your new provider from supplying electricity. However, your current provider will likely charge you a fee for ending the contract before time.

So, consider your specific situation when reviewing binding details: Do you want to have the freedom to switch supplier or plan again in a few months? Is your electricity consumption changing a lot soon: buying a new electric car or installing a heat pump?

If you choose an introduction offer, which often binds you for some time, be careful to check what plan and price you get after the discount period is over.

Customer service and reputation

Not all electricity providers have equally good customer service. Some companies have been criticized for poor communication and less than transparent pricing. Forbrugerrådet Tænk released an article which lists companies and any breaches to rules or laws. The article is in Danish but essentially a lot of “ja” in the table is not a good sign.

Comparison websites and tools

Strømligning (free)

Strømligning is a comparison website of electricity plans. The shown prices are not the total yearly price - this is unpredictable since the electricity spot price varies all year long - but what the electricity company pockets out of your bill: spot surcharge (spottillæg), subscription, payment method charges, extra fees… The data is collected from electricity providers’ websites, provided by companies themselves and recouped with users’ actual electricity bills. I haven’t used the website myself, so I cannot testify of the quality of the data, but I think that using actual bills as a data check should theoretically ensure that trustworthiness.

Forbrugerrådet Tænk (paying membership required)

In 2023, Tænk released a test of electricity companies and their variable plans. They tested and ranked companies based on various criteria, including subscription and spot surcharge, customer service and binding period. I have used this test to choose my current provider as I trust their tests and their thoroughness. Access to the test is for members only.

Elpris (free)

Before I found the test on Tænk, elpris.dk had been my go-to website. You enter your post code (the grid company and associated tariffs depend on where you live) and your approximate consumption and get results for plans sorted by kWh-price. It is Forsyningstilsynet (Danish utility regulator) that owns the website, but it’s the electricity providers themselves who report the data. You can see subscription prices and binding details, but not the spottillæg on the website. Plus, you cannot be sure that the data is up-to-date at all times. So make sure to always check the current and actual data on the providers’ websites before you choose.