The green electricity tax, also known as the PSO tax, will be 2.6 billion kroner more expensive for private Danish electricity consumers than was originally anticipated in the 2012 energy agreement.

When the government presented the green energy agreement two years ago it expected that a typical household would pay 800 kroner in PSO tax in 2014. But instead the price is over 1,300 kroner, 65 percent more than projected.

“The figures show that the energy agreement simply isn’t viable,” Boe Carslund-Sørensen, the head of energy consumer group, Sammensluttede Danske Energiforbrugere, told Jyllands-Posten newspaper. “The politicians must find the courage to change the agreement.”

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Minister: No change
Carslund-Sørensen wants the government to ease the PSO tax for private electricity consumers and this view is echoed by some of the opposition parties in parliament, including Dansk Folkeparti.

But the climate and energy minister Rasmus Helveg Petersen doesn’t see the need for a PSO easing, because he argues that the market price of electricity has dropped.

“So, we haven’t taken more or less money out of the pockets of the general consumer,” Petersen said. “People’s electricity bills are the same today as they were two years ago.”