Austrian households paid 45 percent more for energy in June than in the previous year. Prices for fuel, heating oil and gas have risen sharply, as have wood pellets and firewood. According to the Austrian Energy Agency, the fuel cost more than 2 euros per liter in June and July for the first time. There is currently a slight easing, but a plateau could be reached in the short term. Electricity and gas are becoming more and more expensive at many suppliers.
Household energy prices rose 6.2 percent in June compared to May, according to the Energy Price Index (EPI), calculated by the Energy Agency. Energy prices were the main price driver of inflation. Household energy price increases accelerated slightly again in June, by 45.1 percent, in May the year-on-year increase was about 38 percent.
Fuel price plateau reached?
“In June and July, for the first time, we saw fuel prices above two euros per liter at the pumps across a wide area,” said Franz Angerer, general manager of the Energy Agency, according to the press release. The situation has eased somewhat at the moment and it appears that fuel prices have reached a plateau, at least for the short term. Price increases for diesel, premium petrol and heating oil, as in June, are not expected for the time being.
“However, the situation is very different for electricity and natural gas for households.” Price changes in the wholesale markets are usually passed on to domestic customers with a delay. The electricity price index calculated by the energy agency was three times higher in June than a year earlier and the gas price index was 424 percent higher. Numerous energy suppliers have already raised or announced prices, according to the energy agency.
Drought also drives up electricity prices
In addition to the gas crisis, other factors also influenced the price of electricity: the drought in large parts of Europe reduced generation in the river plants. In addition, many nuclear power stations in France are not operational due to technical defects, others have to be throttled because the rivers needed for cooling carry too little water or are too hot.
“Lack of generating capacity is pushing prices up further,” Angerer said. The high prices are a signal to diversify towards more wind energy, photovoltaic energy, geothermal energy and at the same time more energy efficiency and energy savings.
Fuel oil price more than doubled
According to the EPI, premium petrol was 60.5 percent more expensive in June than in the previous year and 13.9 percent more expensive than in May 2022. A tank full (50 liters) cost on average more than 100 euros, so you had to spend about 40 spend euros more than in the previous year and about 14 euros more than in May. Diesel cost 65.3 percent more year-over-year and 7.0 percent more month-over-month.
The price of heating oil has more than doubled year on year (plus 109.6 percent) and rose 9.3 percent from May. A typical filling of 3000 liters costs more than 4,500 euros in June.
Customers affected to varying degrees
The electricity price for household customers was on average still relatively stable in June (+0.2% on an annual basis). The reason for this, according to the Energy Agency, is easing government measures, such as abolishing the costs of green electricity subsidies and the temporary reduction of electricity taxes. Different customer groups are affected very differently by price increases. Gas was on average 72.1 percent more expensive than in June last year. In a monthly comparison, electricity and gas saw a slight increase of 0.3 percent each.
District heating cost 16.6 percent more than a year earlier and was equal to May. Wood pellets were 52.7 percent more expensive than in June 2021 and cost 5.9 percent more than in May 2022. The price of firewood increased by 33.9 percent year-on-year and 5.0 percent month-on-month.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
