Raw materials in this article
• War in Ukraine raises prices on power exchanges
• CO2 tax and network charges are further price drivers
• Rising wholesale prices likely to retaliate for retail customers
In early 2022, consumers had to pay more for electricity than ever before. And although the EEG-surcharge was abolished on July 1 due to the sharp increase in energy costs, Strom-Report predicts that German households and companies will have to deal with further increases in electricity prices in the course of 2022 due to the huge increase in purchasing costs. Several reasons are given for this.
Electricity price development on the electricity exchange
After the end of the corona-related restrictions and the associated economic recovery, the demand for energy is increasing. At the same time, however, global energy supplies have declined, partly due to the Russian attack on Ukraine and its aftermath. When there is a lot of demand and little supply, prices on the stock market rise.
This price development on the electricity exchange is currently the strongest price driver. Wholesale prices have multiplied there. It is true that large electricity suppliers purchase for the long term and short term fluctuations therefore have no influence. However, an easing is not expected in the foreseeable future, because demand on the gas market will remain strong on the one hand, and supply from Russia will remain low on the other. This drives up the price of gas and makes it more expensive to generate electricity from gas. Since the beginning of the Russian invasion of Ukraine, energy market prices have risen to new record highs.
CO2 tax and network costs
The price of electricity is also further driven up by the CO2 tax. Because if, as a result of the gas shortage, emission-intensive energies such as lignite have to intervene to close the electricity gap, the CO2 tax will make electricity more expensive. Due to the high demand, the price for CO2 emission certificates is already rising to new record highs. In addition, Strom-Report reports an increasing trend in user fees for the transmission system operators.
Impact on consumers
Ultimately, this development of the CO2 tax and network tariffs will also be clearly felt by the consumer, as will the price increases on the stock exchange. Because the electricity suppliers will pass these costs on to the customers. According to the electricity report from early 2022, the energy purchase price was about a third of the end-customer price, 39 percent consisted of taxes and 21 percent of network costs.
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