Cyprus records the largest increase in household electricity prices in 2nd half of 2017 in the EU

Household electricity prices including all taxes and levies in Cyprus stood at Euros 18.3 (average price per 100 kWh) in 2nd half of 2017, or 20.7 PPS (purchasing power standards), signifying an increase of 12.6% in the 2nd half 2017 compared to the 2nd half 2016 and out of this price 22% was th share of taxes and levies, according to Eurostat, the statistical service of the EU.

Meanwhile household electricity prices in the European Union (EU) slightly decreased (-0.2%) on average, between the second half of 2016 and the second half of 2017, to stand at Euros 20.5 per 100 kWh. Across the EU Member States, household electricity prices in the second half of 2017 ranged from below Euros 10 per 100 kWh in Bulgaria to more than Euros 30 per 100 kWh in Denmark and Germany.

Household gas prices fell by 0.5% on average in the EU between the second halves of 2016 and 2017 to stand at Euros 6.3 per 100 kWh. Among Member States, household gas prices in the second half of 2017 ranged from around Euros 3 per 100 kWh in Romania to almost Euros 9 per 100 kWh in Denmark and more than Euros 11 per 100 kWh in Sweden.

Taxes and levies in the EU made up on average over a third (40%) of the electricity price charged to households in the second half of 2017, and about a quarter (27%) of the gas price. In Greece prices stood at Euros 16.2 , or 19.7 PPS a -6.0% and out of that 33% was taxes and levies. According to Eurostat, Cyprus, Malta and Finland do not have a significant gas market for household consumers and therefore did not report gas prices.

Across the EU Member States, the highest increase in household electricity prices in national currency between the second half of 2016 and the second half of 2017 was registered in Cyprus (+12.6%), followed by Romania (+7.2%), Malta (+7.1%), Estonia (+6.5%), the United Kingdom (+5.3%), Bulgaria and Belgium (both +4.8%) and Poland (+4.5%). In contrast, the most noticeable decreases were observed in Italy (-11.1%), Croatia (-7.5%), Slovakia (-6.2%) and Greece (-6.0%). Expressed in euro, average household electricity prices in the second half of 2017 were lowest in Bulgaria (Euros 9.8 per 100 kWh), Lithuania (Euros 11.1) and Hungary (Euros 11.3) and highest in Germany (Euros 30.5), Denmark (Euros 30.1) and Belgium (Euros 28.8). The average electricity price in the EU was Euros 20.5 per 100 kWh.

When expressed in purchasing power standards (PPS), an artificial common reference currency that eliminates general price level differences between countries, it can be seen that, relative to the cost of other goods and services, the lowest household electricity prices were found in Finland (13.0 PPS per 100 kWh), Luxembourg (13.4) and the Netherlands (14.0), and the highest in Germany (28.8), Portugal (28.0), Belgium (26.4), Romania (26.0) and Poland (25.4).

The share of taxes and levies in total household electricity prices varied significantly between Member States, ranging from two-thirds in Denmark (69% of household electricity price is made up of taxes and levies) and over half in Germany (55%) and Portugal (52%) to 5% in Malta in the second half of 2017. On average in the EU, taxes and levies accounted for more than a third (40%) of household electricity prices.

Between the second half of 2016 and the second half of 2017, household gas prices in national currency decreased in ten Member States. The largest falls were recorded in Slovenia (-5.5%), Germany (-5.1%), and Luxembourg (-4.8%). In contrast, the highest increase was observed in Estonia (+25.9%), followed by Bulgaria (20.6%) and Denmark (+18.1%). Expressed in euro, average household gas prices in the second half of 2017 were lowest in Romania (Euros 3.1 per 100 kWh), Croatia and Hungary (both Euros 3.7), Bulgaria (Euros 3.8), Latvia (Euros 3.9), Lithuania and Luxembourg (both Euros 4.0) and highest in Sweden (Euros 11.3), followed by Denmark (Euros 8.8), Spain and Italy (both Euros 8.7), the Netherlands (Euros 8.2) and Portugal (Euros 8.0). The average gas price in the EU was Euros 6.3 per 100 kWh.

Adjusted for purchasing power, it can be seen that, relative to the cost of other goods and services, the lowest household gas price was recorded in Luxembourg (3.3 PPS per 100 kWh), ahead of the United Kingdom (4.5) and Belgium (5.1). In contrast, the highest were observed in Portugal (10.0), Spain (9.6), Italy (8.9), Sweden (8.8) and the Czech Republic (8.3).

In the second half of 2017, taxes and levies made up the largest contribution to the price of gas for households in Denmark (56% of household gas price) and the Netherlands (51%). They were followed by Sweden (45%) and Romania (43%). At the opposite end of the scale, the smallest contributions were registered in the United Kingdom (9%) and Luxembourg (10%), ahead of Bulgaria, the Czech Republic and Slovakia (all 17%). At EU level, taxes and levies accounted on average for about a quarter (27%) of household gas prices in the second half of 2017.

Source: Cyprus News Agency