Energy prices for households fell slightly in July. The Energy Price Index (EPI) fell 1.2 percent year-on-year, for the first time since February 2021 on an annual basis.
The main reason for this is lower prices for domestic heating oil, diesel and premium petrol. Month-over-month, the PPI recorded a slight decline of 0.7 percent for the third month in a row.
Energy prices had a dampening effect on headline inflation
Energy prices had a slightly dampening effect on headline inflation. Nevertheless, the consumer price index rose by seven percent in July compared to the same month last year. Compared to June 2023, the plus was 0.9 percent, compared to July 2021, 18.1 percent.
Heating oil cost almost a third (30 percent) less in July than the year before. Diesel was 24.8 percent cheaper, premium gasoline 23.6 percent, wood pellets 8.8 percent and electricity 4.2 percent. On the other hand, prices for natural gas (plus 83.5 percent), district heating (plus 65.6 percent) and firewood (plus 11.8 percent) have increased significantly.
The prices of petrol, diesel and heating oil are rising
District heating in particular caused the decrease compared to the previous month with a minus of 9.3 percent. Electricity was 4.4 percent cheaper, firewood 0.7 percent. Meanwhile, natural gas (plus 3.2 percent), diesel (plus 2.6 percent), heating oil (plus 1.5 percent) and wood pellets (plus 1.2 percent) were more expensive. The price of premium gasoline remained unchanged. The energy agency also expects rising prices for petrol, diesel and heating oil in the near future.
Natural gas was the leader with a plus of 216.9 percent
Compared to July 2021, however, prices remained at a high level with an increase of around 50 percent. Natural gas was the leader with a plus of 216.9 percent, followed by district heating with 95.2 percent, firewood with 67.6 percent, wood pellets with 59.8 percent and heating oil with 45.8 percent. Households also had to dig deeper into their wallets for diesel (up 25.1 percent), premium gasoline (up 21.2 percent) and electricity (up 5.5 percent).
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
