Energy costs for German households drop 30% since height of energy crisis – analysis
(Clean Energy Wire, 26 Oct 2023) Energy costs in Germany have dropped 30 percent since the height of the energy crisis 12 months ago, according to analysis by price comparison website Verivox.
Costs for heating, electricity and transport fuels peaked in October 2022, with the average costs for a model household reaching 7,926 euros per year. Costs now average 5,549 euros per year. "However, a price level like before the energy crisis remains a long way off; energy costs for private households are currently a good third higher," Thorsten Storck from Verivox said. Costs in the past 12 months have gone down particularly for heating oil and gas (25 percent for oil and 46 percent for gas), and for electricity (33 percent), according to the website's analysis.
The number of German households living in "energy poverty" (paying more than 10 percent of their income on energy) has risen steeply since the onset of the European energy crisis in 2022, according to a recent report by the country's Expert Council for Consumer Affairs. Germany's government introduced several measures to contain spiralling energy costs after the outbreak of Russia's war in Ukraine, such as gas and electricity price caps for consumers and businesses. Not all designated funds were used because wholesale market prices decreased. A rigorous expansion of renewable power sources and grid infrastructure across Europe is seen as one of the most important steps to keep energy prices lower in the long run.