Norway's power production and net exports of electricity reached historic highs last year, driven by abundant water in the country's reservoirs. Preliminary figures from Statistics Norway (SSB) show total production of 161.8 terawatt-hours (TWh) in 2025, up from 157.2 TWh the previous year.
"The high electricity production in 2025 must be seen in the light of a lot of water in the reservoirs at the start of the year, and it was particularly hydropower that contributed to the increase in production from 2024 to 2025," said senior advisor Magne Holstad at SSB.
A Landmark Year for Power Exports
The record production fueled unprecedented net exports. Norway exported a net 22.8 TWh of power in 2025, surpassing the previous record set in 2020 by 2.3 TWh. Total exports amounted to 34.3 TWh, while imports were 11.5 TWh. Holstad noted that, with the exception of 2019, Norway has been a net exporter of electricity every year since 2010. "In 2025, Norway has had net exports in every month and net exports reached a record high level of 22.8 TWh," he stated.
This export performance solidifies Norway's role as a key electricity supplier within the Nordic and European markets, with its extensive network of subsea cables linking it to the United Kingdom, Germany, and the Netherlands. The high export volumes are closely watched by both policymakers in Oslo and consumers, as they directly influence domestic power prices and state revenues.
Hydropower's Central Role and Regional Split
Hydropower, the backbone of the Norwegian energy system, accounted for 145.5 TWh of the total production, an increase of nearly four percent from 2024. SSB points to significant upgrades and modernization of hydroelectric facilities as a key enabler of this increased output. However, the national figure masks a significant regional divergence. The increase in hydro production was entirely driven by power stations in Mid- and Northern Norway, while production in the more populous southern part of the country fell by three percent.
This geographical split highlights the interconnected challenges of grid capacity and regional resource distribution. Southern Norway, which is more densely populated and has greater interconnection with continental Europe, often experiences different price dynamics and supply pressures compared to the north, where production capacity is growing.
The Variable Contribution of Other Sources
While hydropower dominated, the output from other renewable sources was mixed. Wind power generation fell by 4.4 percent to 13.9 TWh last year. SSB notes that after a construction boom drove major growth from 2016 to 2022, expansion has now leveled off. Consequently, annual wind power production is becoming more dependent on yearly variations in wind conditions rather than new capacity coming online.
Solar power, while growing rapidly from a very low base, remains a minor contributor. It generated 0.346 TWh in 2025, up from 0.25 TWh the year before. "Even though solar power production has shown strong growth in every year since it was included in the electricity statistics from 2020, it accounted for a modest proportion of total electricity production in 2025," Holstad explained. Thermal power production, which includes gas power, fell by 11.5 percent to 2.1 TWh, a fraction of its peak of 5.6 TWh in 2010.
Household Consumption and Price Implications
On the consumption side, households used 40.4 TWh of electricity in 2025, a slight decrease from 40.9 TWh the year before. This level is roughly in line with the average over the past five years. Within this total, holiday homes accounted for 2.5 TWh and primary residences for 37.9 TWh. A significant portion of household consumption is for heating, which was influenced by weather, the average temperature in 2025 was 1.5 degrees Celsius above the seasonal norm.
The combination of high production, strong exports, and stable domestic consumption created a unique market situation. Experts analyzing the SSB data point out that record exports, while beneficial for national income, do not automatically translate to low domestic prices. Prices are determined by a complex interplay of reservoir levels, European market prices transmitted via interconnectors, and local grid conditions. The regional production disparity between north and south further complicates the national picture, often leading to higher price zones in the southern regions where demand is highest and local hydro production fell.
The Road Ahead for Norwegian Power
The 2025 figures present a snapshot of a power system in transition. Hydropower remains overwhelmingly dominant and capable of record output, but its growth is geographically uneven. The wind power sector has entered a phase of consolidation after rapid expansion. The record net exports underscore Norway's deepening integration into the European energy market, a relationship that brings both revenue and exposure to continental price volatility.
Looking forward, the focus for industry analysts and the government will be on how to manage this export-oriented system for the benefit of Norwegian industry and consumers. Key questions will involve infrastructure investment to balance regional disparities, the long-term role of wind power, and the policy mechanisms needed to ensure energy security and price stability at home, even as Norway powers its neighbors. The data from 2025 proves the system's capacity, but the ongoing challenge will be managing its outputs and economic effects.