Archive:Energy price statistics

Data extraction from January 2011, most recent data: Further Eurostat information, Main tables and Database.

This article highlights the evolution of electricity and gas prices for both industrial and household users within the European Union (EU). The price of energy in the EU depends on a range of different supply and demand conditions, including the geopolitical situation, import diversification, distribution costs, environmental protection costs, severe weather conditions, or levels of excise and taxation; note that all of the prices presented in this article include taxes and VAT for household consumers but exclude refundable taxes and VAT for industrial consumers.

Main statistical findings

Table 1: Half-yearly electricity and gas prices - (EUR)

Between the first half of 2009 and the first half of 2010, electricity prices for households increased in 16 EU Member States (see Table 1) while in 9 EU Member States the prices went down. Hungary and Malta did not report price data. During the same period, the prices for industrial/business electricity consumers decreased in 13 Member States, but in 10 Member States, the prices went up; in Bulgaria, the price remained stable. On average, the EU-27 price of electricity for households rose by 2.0 %, while it went down by 2.5 % for the industrial sector. There were a few notable exceptions to these trends among the EU Member States, as electricity prices fell by in excess of 10 % for households users in Ireland and in the Netherlands. For industrial consumers, a double-digit price increase could be observed in Cyprus and Sweden (prices in Norway went up by more than 30 % and in Turkey by more than 14 %). The price of electricity for households was more than three times higher in the most expensive Member State, Denmark (EUR 0.27 per kilowatt hour (kWh)), compared with the cheapest Member State, Bulgaria (EUR 0.08 per kWh). For industrial consumers, the price of electricity in Cyprus (EUR 0.15 per kWh) was slightly more than double the price in Bulgaria (EUR 0.065 per kWh). Some of the price differences between Member States are attributed to taxes. All industrial electricity prices in this article exclude VAT and other recoverable taxes, while the household prices include all taxes and VAT.

During the same period, natural gas prices for household consumers went down in 19 EU Member States, while in 3 EU Member States (Denmark, Poland and Sweden) the natural gas became more expensive. For industrial/business gas consumers, the prices decreased in 17 Member States, but in 5 Member States, the prices went up. On average, the EU-27 price of natural gas for households went down by 10.4 %, and by 15.5 % for the industrial sector. A significant price increase for industrial gas consumers of 11.9 % was observed in Sweden, that was against the general trend during this period. The highest prices for households were registered in Sweden (EUR 28.71 per gigajoule (GJ), at nearly four times the lowest price which was recorded in Romania (EUR 7.64 per GJ). Among industrial users, the highest prices were recorded in Sweden (EUR 15.81 per GJ) while the lowest prices were noticed in the United Kingdom (EUR 5.94 per GJ). Due to the limited penetration of the natural gas-markets in Greece, Cyprus, Malta and Finland (household sector) gas prices for these countries are not presented. Some of the price differences between Member States are attributed to taxes. All industrial natural gas prices in this article exclude VAT and other recoverable taxes, while the household prices include all taxes and VAT.

Data sources and availability

Due to a change in methodology from 2007 onwards, there is a break in series and hence a relatively short time series available. Nevertheless, even in this relatively short timeframe, electricity and gas prices have fluctuated considerably - in particular, gas prices.

The transparency of energy prices is guaranteed within the EU through the obligation for EU Member States to send Eurostat information relating to prices for different categories of industrial and business end-consumers (prices for the household sector are provided on a voluntary basis), market shares, conditions of sale, and pricing systems. Electricity and gas tariffs or price schemes vary from one supplier to another. They may result from negotiated contracts, especially for large industrial consumers. For smaller consumers, they are generally set according to the amount of electricity or gas consumed along with a number of other characteristics; most tariffs also include some form of fixed charge. There is, therefore, no single price for electricity or gas. In order to compare prices over time and between countries, this article shows information for consumption bands from the household sector and the industrial sector. There are in total five different types of households for which electricity prices are collected following different annual consumption bands, while for natural gas statistics are collated for three different types of household. Across business/industrial users, electricity prices are collected for a total of seven different types of users, while for natural gas prices there are six different types of users distinguished.

Statistics on electricity and natural gas prices charged to industrial end-users are collected under the legal basis of a European Commission Decision (2007/394/EC) of 7 June 2007 amending Council Directive (90/377/EEC) with regard to the methodology to be applied for the collection of gas and electricity prices. Directive 2008/92/EC of the European Parliament and Council of 22 October 2008 concerns procedures to improve the transparency of gas and electricity prices charged to industrial end-users. Note that gas and electricity prices for households are collected on a voluntary basis.

The prices presented cover average prices over a period of six months (semester) from January to June (semester 1 or S1) and from July to December (semester 2 or S2) of each year. The prices include the basic price of the electricity/gas, transmission & distribution charges, meter rental, and other services. Electricity prices for household consumers are presented in this article including taxes and value added tax (VAT) as this generally reflects the end price paid by consumers in the domestic sector. All electricity price data are given in euro per kilowatt hour (EUR per kWh); a similar set of criteria are used for gas prices, except the unit changes to euro per gigajoule (EUR per GJ).&nbsp. As Industrial/Business enterprises are usually qualified to recover value added tax (VAT) and some other taxes, only prices without value added tax (VAT) and other recoverable taxes are presented in this article.

Context

The price and reliability of energy supplies, electricity in particular, are key elements in a country’s energy supply strategy. Electricity prices are of particular importance for international competitiveness, as electricity usually represents a significant proportion of total energy costs for the industry/businesses. In contrast to the price of fossil fuels, which are usually traded on global markets with relatively uniform prices, there is a wider range of prices within the EU Member States for electricity or gas. The price of electricity and gas is, to some degree, influenced by the price of primary fuels and, more recently, by the cost of carbon dioxide (CO₂) emission certificates.

These issues were touched upon in a Communication from the European Commission titled, ‘Facing the challenge of higher oil prices’ (COM(2008) 384), which called on the EU to become more efficient in its use of energy, and less dependent on fossil fuels - in particular, by following the approach laid out in the climate change and renewable energy package.

The EU has acted to liberalise electricity and gas markets since the second half of the 1990s. Directives adopted in 2003 established common rules for internal markets for electricity and natural gas. Deadlines were set for opening markets and allowing customers to choose their supplier: as of 1 July 2004 for business customers and as of 1 July 2007 for all consumers (including households). Certain countries anticipated the liberalisation process, while others were much slower in adopting the necessary measures. Indeed, significant barriers to entry remain in many electricity and natural gas markets as seen through the number of markets that are still dominated by (near) monopoly suppliers. In July 2009, the European Parliament and Council adopted a third package of legislative proposals aimed at ensuring a real and effective choice of suppliers, as well as benefits for customers. It is thought that increased transparency for gas and electricity prices should help promote fair competition, by encouraging consumers to choose between different energy sources (oil, coal, natural gas and renewable energy sources) and different suppliers. Energy price transparency can be made more effective by publishing and broadcasting as widely as possible prices and pricing systems.

Further Eurostat information

Publications

Main tables

Energy(t_nrg), see

Energy Statistics - prices (t_nrg_price)

Natural gas prices for medium size industrial standard consumers (ten00112)

Natural gas prices for medium size household standard consumers (ten00113)

Electricity prices for medium size industrial standard consumers (ten00114)

Electricity prices for medium size household standard consumers (ten00115)

Database

Energy (nrg), see:

Energy Statistics - prices (nrg_price)

Energy Statistics: gas and electricity prices - New methodology from 2007 onwards (nrg_pc)

Energy Statistics: gas and electricity prices - Old methodology until 2007 (nrg_pc_h)

Gas and electricity prices for structural indicators - prices on 1st January (1991-...) (nrg_pc_priceind)

Methodology/Metadata

Energy Statistics: gas and electricity prices - New methodology from 2007 onwards (ESMS metadata file - nrg_pc_esms)
Energy Statistics: gas and electricity prices - Old methodology until 2007 (ESMS metadata file - nrg_pc_h_esms)

Source data for tables and figures (MS Excel)

Energy price statistics: tables and figures