Flames from a gas burner are reflected on a cooker in a private home in Bad Honnef near Bonn, Germany, October 11, 2021. REUTERS/Wolfgang Rattay/File Photo
Many German households face another 50%-plus hike in power and gas supplies in January due to the lag in suppliers passing on higher wholesale market prices and rising grid fees, prices portal Verivox said on Friday.
Some 137 regional power suppliers will increase their prices by an average of around 61% and 167 gas suppliers by around 54%, Verivox said, after monitoring 800 power and 700 gas providers.
"The price level for energy is historically high and reducing the purchasing power of households," said Verivox energy expert Thorsten Storck in a statement.
A plunge in Russian gas exports to Europe and lower French nuclear output are two reasons why higher prices are likely to continue, despite a raft of emergency measures by policymakers.
The additional average cost for a household using 4,000 kilowatt hours (kWh) of electricity per year would be 784 euros ($813) per annum, while a typical household using 20,000 kWh of gas would see an increase of 1,247 euros per year, Verivox said.
Under law, supplies must notify customers of planned Jan. 1 price changes by Nov. 20.
Power bills in November were on average at an annual rate of 1,477 euros, up 5% since January, while gas bills were at 2,737 euros for a year, more than 40% above January's level.
To help consumers, the government has cut value-added tax on energy supplies to 7% from 19% and provided 13 billion euros in subsidies for fees charged by power grid firms, which account for 10% of final bills.
A costly surcharge to support renewable power was scrapped from July.
Customers can expect more assistance from the government's energy relief packages, with details of "brakes" on gas and power prices being worked out.
