Introduction Anders Plejdrup Houmøller CEO, Houmoller Consulting This PowerPoint presentation is animated It’s recommended to run the animation when viewing the presentation. On most computers, you can start the animation by pressing F5. Now the presentation moves one step forward, when you press Page Down. It moves one step backward, when you press Page Up. 8 April 2018

The Nordic System Price – 1 In this presentation, the term “Nordic” refers to the countries Denmark, Finland, Norway and Sweden. The System Price is the common price, we would have in the Nordic area, if there were no grid bottlenecks in the area covered by the four countries Hence the System Price is a virtual price. However, the System Price is used as the underlying reference for most of the Nordic financial power contracts. € 8 April 2018

The Nordic System Price – 2 Concerning the pictures at the next two slides: There is no correction for inflation – the prices are nominal terms. The red and the blue curves must be regarded as two independent pictures As the currency rate NOK-EUR has fluctuated during the period from 1999 to 2018 The number for the annual turn-over at the Nordic whole-sale market is only a rough estimate of the average turn-over during the period 2004–2017 Due to falling prices and falling consumption, the turn-over in 2017 was only about € 11 billion (about $ 13 billion). 8 April 2018

The Nordic System Price May 4th, 1992 – April 8th, 2018 Nominal terms 80 160 240 320 400 NOK/MWh Moving 7-days average 10 20 30 40 50 60 70 80 90 100 110 EUR/MWh 93 95 97 99 01 03 05 07 09 11 13 15 17 Dry and cold Dry year Cold weather Dry and cold Cold and low Swedish nuclear power output Annual turnover at the Nordic whole-sale market: about EUR 14 billion (about USD 18 billion) Spring flood Autumn Wet year Wet

The Nordic System Price 10 20 30 40 50 60 EUR/MWh 80 160 240 NOK/MWh May 3rd, 1993 – April 8th, 2018 94 96 98 00 02 04 06 08 10 12 14 16 Nominal terms Moving 365 days average (moving annual average)

Thank you for your attention! Anders Plejdrup Houmøller Houmoller Consulting Tel. +45 28 11 23 00 anders@houmollerconsulting.dk www.houmollerconsulting.dk