In the energy option scheme, major consumers of energy enter into voluntary agreements with Statnett to reduce their consumption in a very tight energy supply situation. Statnett will compensate the companies it enters into agreement with for the option, regardless of whether the options are exercised or not. In a highly strained energy situation Statnett will pay to exercise the option and the company must then reduce its consumption by the agreed quantity.

Energy options constitute one of Statnett’s tools to maintain a constant balance between consumption and production in the Norwegian power system. The scheme will ensure that the risk of rationing is reduced. Implementation of the scheme is subject to approval from the Norwegian Water Resources and Energy Directorate (NVE).

 The energy option scheme is a national scheme and Statnett is free to chose the bids which best suit the needs of the power system. The scheme was introduced in 2006. Since then Statnett has entered into energy option agreements every year.