FRANKFURT: German households have been switching electricity and gas suppliers under a European Union rule, introduced from July 1, 2007, that gave consumers a choice of provider.
Following is a timeline of recent customer and price trends in the market of 40 million households in Europe's biggest economy, which is supplied by 1,100 power and 770 gas companies.
portal that monitors prices and encourages switching, says it has recorded 62 power companies' intention to raise prices in December or January by an average three percent and 53 gas suppliers that will increase prices by around eight percent on average.
The average power bill per household using 4,000 kilowatt hours a year will go up by 32 euros ($43). It cites subsidies levied on German consumers to support renewable power, higher wholesale market prices and higher transmission grid fees.
The average gas bill for a household using 20,000 kWh (typically for heating which competes with heating oil) will go up by 112 euros per annum, it says.
The reasons are rising crude oil prices, to which the bulk of gas procurement prices are still index-linked with a time lag of around six months. Importers pass on these costs.
A round of gas price increases started to become noticeable from July and August and carried on in October. In total, more than half of all companies in the sector have raised prices since September-November
In line with sector peers, Vattenfall Europe says it will raise retail power prices in its core markets in Berlin and Hamburg by 6.5 percent. It has market shares of 80 percent in Hamburg and of 75 percent in Berlin.
November E.ON, having raised prices in March and May, says its retail prices at regional subsidiaries will remain stable until the spring of 2012.
November RWE, having raised prices in Jan/Feb, says there will not be price increases on Jan. 1, 2012. Its retail gas prices might stay unchanged for the rest of the 2011/2012 heating season.
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