Electricity Bill Shock in Germany... Household Energy Costs 7.65 Million KRW per Year, Up 40% in 3 Years

"Burden Increases Due to Government Support Withdrawal"

A survey revealed that energy costs borne by consumers in Germany, which has experienced an energy crisis due to the Ukraine war and other factors, have risen by more than 40% over the past three years.

On the 26th (local time), German price comparison company Verivox analyzed the trends in heating, electricity, and gasoline prices, finding that in February this year, the annual household energy cost was 5,306 euros (approximately 7.65 million KRW), which is 40.7% higher than 3,772 euros (approximately 5.44 million KRW) in February 2021.

The survey was based on a three-person household using 20,000 kWh of heating, 4,000 kWh of electricity, and driving 13,300 km by car annually.

Torsten Stork, Verivox’s energy manager, told the daily Berliner Morgenpost, "Although energy prices have fallen by about one-third since their peak in October 2022, they remain at a burdensome level for ordinary households."

A plane at Munich International Airport came to a halt on December 4 last year (local time) due to heavy snowfall.
[Photo by Reuters]

German energy prices began to rise sharply from the fall of 2021, when the country started to emerge from the COVID-19 pandemic. The upward trend steepened further after Russia’s invasion of Ukraine in February the following year, which cut off energy imports.

Although international energy prices have recently stabilized, it is expected to take more time for consumers to feel the effects.

The German government abolished the energy price cap earlier than planned in January this year while drafting a tight budget following a constitutional court ruling against last year’s budget plan. The gas value-added tax rate, which had been reduced to 7% to ease the energy shock, will also be restored to 19% starting next month.

The German Macroeconomic Policy Institute (IMK) forecasted that due to the impact of the tight budget, energy costs borne by consumers this year will increase by 158 euros (approximately 230,000 KRW) to 254 euros (approximately 370,000 KRW) per household, depending on income level.

This content was produced with the assistance of AI translation services.