News Digest Item
11 Oct 2018

German power prices to stay high despite dip in renewables levy in 2019

Clean Energy Wire / BEE / CHECK24

German household power prices will remain largely unchanged in 2019 as higher grid fees and wholesale prices outweigh a dip in the surcharge paid for the roll-out of renewable energy sources. The German Renewable Energy Federation (BEE) expects the country’s renewables levy to decrease in 2019, mostly due to higher prices for emissions certificates under the European Union Emissions Trading System (ETS), the organisation said in a press release. According to its forecast, the Renewable Energy Act (EEG) surcharge will decrease to about 6.51 cents per kilowatt hour (ct/kWh) from the current 6.792 ct/kWh. “Emissions trading is having a steering effect this year […], rewarding clean energy generation. Wholesale power prices are recovering, the EEG levy is falling,” said Peter Röttgen, BEE managing director. The EEG surcharge closes the gap between the expenses for the feed-in tariffs for electricity from renewable power plants and the income generated by the sale of EEG electricity on the electricity exchange.
According to a press release by price comparison website CHECK24, the levy decrease means a family using 5,000 kWh per year will save 17 euros. However, household prices are likely to remain at the same level as distribution grid fees are set to rise and wholesale prices have increased over the past months, writes CHECK24.

Find the BEE press release in German here, a background paper in German here and the CHECK24 press release in German here.

See the CLEW factsheet What German households pay for power for more information.

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