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Electricity and gas prices are rising rapidly in Europe - this is what consumers in Germany now have to do

2021-10-13T12:09:35.065Z


The prices for electricity and gas are rising dramatically. But development is dangerous. The development does not appear to be over yet.


The prices for electricity and gas are rising dramatically.

But development is dangerous.

The development does not appear to be over yet.

Brussels / Berlin - The rise in the price of electricity and guests is driving worry lines on the forehead of consumers in Germany. The development is also a concern for government politicians in many countries: Poverty, dissatisfaction and thus social tensions are given new breeding ground due to the enormous inflation rates. Almost two years ago there were “yellow vest protests” in France for similar reasons: people took to the streets to defend themselves against price increases for fuel and cuts in pensions *.

Due to the increased demand for energy since the beginning of the Corona easing and low levels of gas storage in many countries, prices have recently increased significantly: In September 2021, according to the Eurostat statistics agency, energy prices in countries of the euro zone rose by an average of 17.4 percent the same month last year, overall consumer prices rose by only 3.4 percent.

Electricity and gas: Significant price increases call EU member states into action

The wholesale price of natural gas alone rose by around 440 percent between January and October.

Gas is used for heating, but also to generate electricity - the fossil fuel also has an influence on how much electricity costs *.

In Germany, electricity on the stock exchange has become around 140 percent more expensive since January, in Italy it is 340 percent and in Spain even 425.

In order to curb the current development, numerous member states such as Spain, France, the Czech Republic and Greece are calling for a united approach by the EU.

German parliamentarians are also campaigning for political regulation: energy poverty could "become a widespread problem, especially in EU member states with low per capita incomes," warned the SPD MEP Jens Geier recently.

The energy crisis is likely to be one of the dominant topics when the (still) German Chancellor Angela Merkel *, French President Emmanuel Macron and Co. meet next week at the EU summit in Brussels.

However, the short-term possibilities for the EU to do something about high electricity and gas prices appear limited.

Electricity and gas prices in Germany: joint action required by the EU Commission

In the long term, however, a stronger role for the EU partners would undoubtedly be desirable - and this affects both the parliaments of the national capitals and the people of the country: forecasts by experts suggest that energy prices will remain high for longer. As

Welt.de

describes, Spain demands that the EU adapts the slow but ultimately successful joint purchase of corona vaccines and also applies this in the gas sector in order to have more bargaining power with companies from the main supplier countries Russia or Norway .

What can EU countries do about current energy prices? In mid-October, the European Commission presented a "toolbox": It is a toolbox with measures that EU countries can apply nationally. Several member states have already intervened at short notice to protect private households from high electricity and heating costs. France has promised a tariff brake and wants to pay poor households 100 euros. Italy wants to spend three billion euros to waive some of their electricity and gas bills, for example through tax breaks for electricity and gas customers.

The “Toolbox” of the EU Commission is intended to collect and promote such measures.

Among other things, the


EU countries want to coordinate gas purchases together, create new gas reserves and decouple the price of electricity and gas.

There will be concrete negotiations on this at an EU summit on October 21st and 22nd.

This gives national governments a powerful countermeasure, but at the expense of the national budget.

High energy prices in Germany: a large proportion goes to the state treasury

It is important in this context: According to calculations by the EU Commission, taxes such as the German EEG surcharge are responsible for 41 percent of the electricity costs of the polluted households - so almost half of the energy price goes to the state coffers.

In industry, the proportion is up to 34 percent.

Meanwhile, German network operators have given forecasts of the usage charges for gas in the coming year. The prices would continue to rise, as the comparison

portal Check24.de

explains. Households would have to reckon with around ten percent more costs in 2022. A figure that is even more frightening: In the same period of September, consumers last paid 33 percent for heating. How can you protect yourself? "When prices rise, consumers should take action themselves and switch gas suppliers," appeals Steffen Suttner, managing director in the energy sector at

Check24

. Incidentally, according to the Brussels authority, energy prices should fall again by April 2022 at the latest, but settle at a higher level than in 2020.

In addition, the rapid rise in fuel prices does not seem to end.

In the meantime, a liter of fuel at the first filling stations in Germany already costs two euros *.

(PF with dpa material) * Merkur.de is an offer from IPPEN.MEDIA

Source: merkur

All news articles on 2021-10-13

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