Electricity prices rise in Cyprus by 22% since last year, ranking 11th in the EU, says Eurostat

In the European Union (EU), household electricity prices slightly decreased (-0.5%) on average between the first half of 2016 and the first half of 2017 to stand at Euros 20.4 per 100 kWh, according to Eurostat, the statistical office of the EU.

According to Eurostat, across the EU Member States, household electricity prices in the first 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.

More specifically household electricity prices including all taxes and levies in Cyprus stood at 18.6 euro per 100 kWh in 1 st half of 2017 (or 21.0 in PPS – purchasing power standards) indicating a +22.0% increase since the 1st half of 2016. 22% of the total price is the share of taxes and levies in average price. Cyprus is ranking as the 11th most expensive country out of the 28, and as indicated by Eurostat registered the highest annual increase.

At the same time, household gas prices fell by 6.3% on average in the EU between the first halves of 2016 and 2017 to stand at Euros 5.8 per 100 kWh. Among Member States, household gas prices in the first half of 2017 ranged from less than Euros 3.5 per 100 kWh in both Romania and Bulgaria to slightly above Euros 8 per 100 kWh in Denmark and Euros 12 per 100 kWh in Sweden. Taxes and levies in the EU made up on average over a third (37%) of the electricity price charged to households in the first half of 2017, and about a quarter (26%) of the gas price.

Across the EU Member States, the highest increase in household electricity prices in national currency between the first half of 2016 and the first half of 2017 was registered by far in Cyprus (+22.0%), followed by Greece (+12.8%), Belgium (+10.0%), Poland (+6.9%), Sweden (+5.5%) and Spain (+5.1%). In contrast, the most noticeable decreases were observed in Italy (-11.2%), Croatia (-10.2%) and Lithuania (-9.3%), well ahead of Luxembourg (-4.9%), Austria (-4.1%), Romania (-4.0%) and the Netherlands (-3.6%). Expressed in euro, average household electricity prices in the first half of 2017 were lowest in Bulgaria (Euros 9.6 per 100 kWh), Lithuania (Euros 11.2) and Hungary (Euros 11.3) and highest in Denmark and Germany (both Euros 30.5) followed by Belgium (Euros 28.0). The average electricity price in the EU was Euros 20.4 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 (12.8 PPS per 100 kWh), Luxembourg (13.5) and the Netherlands (14.2), and the highest in Germany (28.7), Portugal (28.6), Poland (25.9), Belgium (25.6) and Spain (25.4).

The share of taxes and levies in total household electricity prices varied significantly between Member States, ranging from two-thirds in Denmark (67% of household electricity price is made up of taxes and levies) and over half in Germany (54%) and Portugal (52%) to 5% in Malta in the first half of 2017. On average in the EU, taxes and levies accounted for more than a third (37%) of household electricity prices.

Between the first half of 2016 and the first half of 2017, household gas prices in national currency decreased in a large majority of Member States. The largest falls were recorded in Croatia (-17.5%), Portugal (-15.3%), Lithuania (-11.6%), Latvia (-10.8%) and Bulgaria (-10.3%). In contrast, the highest increase was observed in Estonia (+21.1%), followed by Denmark (+12.7%) and Sweden (+10.8%). Expressed in euro, average household gas prices in the first half of 2017 were lowest in Romania (Euros 3.2 per 100 kWh), Bulgaria (Euros 3.3), Hungary (Euros 3.5), Croatia (Euros 3.6), Lithuania (Euros 3.7) and Latvia (Euros 3.8) and highest in Sweden (Euros 12.1), followed by Denmark (Euros 8.1), Portugal (Euros 7.7) and the Netherlands (Euros 7.6). The average gas price in the EU was Euros 5.8 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 (3.5 PPS per 100 kWh), ahead of the United Kingdom (4.3) and Belgium (4.7). In contrast, the highest were observed in Portugal (9.7), Sweden (9.5) and the Czech Republic (8.4).

In the first half of 2017, taxes and levies made up the largest contribution to the price of gas for households in Denmark (55% of household gas price) and the Netherlands (53%). They were followed by Romania (47%) and Sweden (44%). At the opposite end of the scale, the smallest contributions were registered in the United Kingdom (7%) and Luxembourg (10%), ahead of Greece (16%), Bulgaria, the Czech Republic, Lithuania and Slovakia (all 17%). At EU level, taxes and levies accounted on average for about a quarter (26%) of household gas prices in the first half of 2017.

Source: Cyprus News Agency