Electricity providers are increasing electricity prices even though electricity is becoming cheaper – that’s why

Although electricity prices on the stock exchange have recently fallen sharply and the first electricity providers are lowering prices, municipal utilities and basic suppliers are continuing to increase prices. The head of a large electricity provider now explains why this is the case.

electricity meter
electricity meter

The reason why many electricity providers are now increasing the tariffs for you as a customer, although the prices for purchasing electricity on the electricity exchange are falling, lies in the past few months. “In the basic supply , we didn’t pass on the 1,000 euros per megawatt hour from August. But only about 30 percent . The price for a megawatt hour of electricity for delivery in the coming year was around 180 euros on the electricity exchange, according to the price comparator Verivox. That is significantly cheaper than in September, when more than 500 euros per megawatt hour was required. The price level remains historically high. For comparison: Before the start of the energy crisis, the long-term average prices were between 35 and 55 euros per megawatt hour.

EON INCREASES ELECTRICITY PRICES, ELECTRICITY DISCOUNTERS LOWER THEM

The customers of the utility Eon are receiving mail with price increases for March these days. Some customers with tariffs outside the basic service are almost doubles. The price increases from 26.9 cents per kilowatt hour to tariffs of 50 cents and more. According to the Handelsblatt, Eon explains this with the low price level from which the customers come. Eon boss Birnbaum says it is not yet possible to give the all-clear on energy prices.

Ramona Pop, chairwoman of the Federal Association of Consumer Organizations, sees another problem. According to this, electricity providers bought electricity for the current year at high prices on the stock exchange last year. These prices must now be passed on accordingly. Apparently, these suppliers had not expected that the spot prices for short-term purchases would drop significantly and wanted to secure themselves in the long term. At the same time, as reported , there are again providers who now offer electricity prices below the electricity price brake. These are usually pure electricity discounters who buy and sell electricity at short notice. Pop warned against always pouncing on the cheapest provider.

Verivox, in turn, advises customers who were looking for “refuge from skyrocketing energy costs” with the basic supplier last year to now look for a new provider. A kilowatt hour of electricity for new customers still cost 56 cents on average nationwide in mid-October, currently it is 42.7 cents and thus 24 percent less. Basic electricity supply rose in price by 27 percent in the same period – from 36.8 to 46.6 cents per kWh. At the same time, the electricity price brake will take effect from March 1st (retroactive to January), capping your electricity price for 80 percent of the previous year’s consumption at 40 cents per kWh.

MEASURES AGAINST THE PRICE EXPLOSION: SAVE AND SWITCH

We have put together various guides that you can use to save electricity and gas relatively easily without restricting yourself.

Saving when cooking: This is how you save electricity and gas in the kitchen
Saving electricity with LED lamps: These tips will help you through the dark winter
Electricity bill too high? These measures help quickly
5 tricks to save energy and money with Smart Home
Save gas in the household: These 8 tips will help you today
And if you don’t want to take care of a reasonable contract for electricity and gas yourself, we recommend our partner remind.me . According to their own statements, they only cooperate there