Significant regional disparities in electricity costs are impacting German consumers, according to a recent analysis by comparison portal Verivox. The study reveals a cost difference of up to 29 percent between the most and least expensive states.
A three-person household consuming 4,000 kilowatt-hours annually faces an average electricity bill of €1,607 in Hamburg, the most expensive state. In contrast, a comparable household in Bremen, the most affordable, pays only €1,247 – a difference of €360, despite the cities being only 95 kilometers apart.
Berlin (€1,487), Saarland (€1,468), Baden-Württemberg (€1,466) and North Rhine-Westphalia (€1,443) follow Hamburg as the states with the highest household electricity costs. Consumers in Saxony-Anhalt (€1,324), Saxony (€1,327), Lower Saxony (€1,335) and Brandenburg (€1,339) benefit from the lowest prices. The national average for a three-person household is currently €1,409.
Verivox’s calculation utilizes the ‘household price’ encompassing all taxes, levies and the monthly basic fee. The analysis incorporates data from approximately 820 local utility providers, alongside prices offered to customers who actively compare energy deals and those of nationwide energy suppliers.
Beyond these regional price differences, the study further investigated potential savings for consumers who switch from their standard utility provider to the cheapest available fixed-rate tariff. The average potential savings across Germany amount to €671 per year. Thuringia offers the highest potential savings at €870, followed by Hamburg (€795) and Berlin (€752). Consumers in Saxony (€690) and Bremen (€359) have the least to gain from switching providers.
According to Verivox energy expert Thorsten Storck, the primary driver of these regional variations is the differing level of grid fees. These fees cover the costs associated with maintaining and operating the electricity grid, as well as meter readings and upkeep and vary depending on the region.
