Archive:Energy price statistics

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Data from September 2010, most recent data: Further Eurostat information, Main tables and Database.

This article highlights the evolution of electricity and gas prices for both industrial and household users within the European Union (EU) and also presents information on the price of petrol and diesel at the pump. The price of energy in the EU depends on a range of different supply and demand conditions, including the geopolitical situation, import diversification, distribution costs, environmental protection costs, severe weather conditions, or levels of excise and taxation; note that all of the prices presented in this article include taxes.

Main statistical findings

Table 1: Half-yearly electricity and gas prices - including taxes
(EUR)

Figure 1: Prices, premium unleaded gasoline (Euro-super 95) - including taxes
(EUR per litre)

Figure 2: Prices, automotive diesel oil - including taxes
(EUR per litre)

Electricity and gas

Between the first half of 2008 and the first half of 2009, electricity and gas prices increased in most of the Member States for both households and industrial users (see Table 1). On average, the price of electricity for EU-27 households rose by 3.9 %, while gas prices for households rose by 7.6 %. The price increases experienced by industrial users over the same period were considerably higher for electricity (rising by 9.0 % across the EU), but lower for gas (5.7 %). There were a few notable exceptions to these trends among the Member States, as electricity prices fell by in excess of 10 % for households and industrial users in Cyprus, and for households in Poland, while there were double-digit prices reductions for gas for industrial users in Ireland and Sweden, for households in Luxembourg, and for households and industrial users in Romania.

Although figures for the EU-27 are not available for the first half of 2010, the information presented for the majority of Member States shows that gas prices generally fell between the first half of 2009 and the first half of 2010. Poland and Sweden were the only Member States among the 19 for which data are available where gas prices for households rose, while the same two countries, along with Estonia and Lithuania were the only Member States where gas prices for industrial users increased. The pattern of developments for electricity prices was less clear between the first half of 2009 and the first half of 2010.

Among those Member States for which data are available for the first half of 2010, the price of electricity for households was nearly three times higher in the most expensive Member State, Germany (EUR 0.24 per kilowatt hour (kWh)), compared with the cheapest Member State, Bulgaria (EUR 0.08 per kWh). The range of prices for gas was similar in magnitude, as the highest prices for households were registered in Sweden (EUR 28.71 per gigajoule (GJ), at nearly four times the lowest price which was recorded in Romania (EUR 7.64 per GJ). Among industrial users, there was less variation in prices across the Member States. Nevertheless, the price of electricity in Cyprus (EUR 0.17 per kWh) was slightly more than double the price in Estonia (EUR 0.08 per kWh), while a similar pattern was observed for gas prices, which were also slightly more than twice as high in Sweden (EUR 15.32 per GJ) as they were in the United Kingdom (EUR 6.98 per GJ). Some of these energy price differences between Member States may be attributed to taxes.

The price paid by households for electricity and for gas was generally higher than the corresponding price paid by industrial users (which may in part be explained by the greater volume of energy consumed by industrial users). This pattern was found in the vast majority of Member States for which data are available for the first half of 2010, with the only exceptions where households were paying less being in Latvia (for electricity) and Lithuania (for both electricity and gas).

Petrol and diesel

As with electricity and gas prices, petrol and diesel prices have also fluctuated considerably in recent years. With rapid growth in demand for fossil fuels from the fast-growing economies of Brazil, Russia, India, and China (BRICs), imbalances arose between supply and demand, leading to crude oil prices rising significantly from 2004 to the middle of 2008. The price of crude oil subsided somewhat, in part due to weaker demand as a result of the economic downturn, although there were signs of a rally in oil prices in the second half of 2009. Changes in oil prices have an impact on the price of energy substitutes, notably natural gas, and also feed into prices for other sectors that are heavy users of energy or use energy products as raw materials.

The highest prices for unleaded petrol in the EU during August 2010 were found in Greece, the Netherlands, Finland, Denmark, the United Kingdom and Belgium (see Figure 2), while the United Kingdom had, by some margin (EUR 0.18 per litre), the most expensive pump price for automotive diesel oil ahead of Greece, Sweden, Ireland and the Czech Republic (see Figure 3).

The lowest prices for petrol and diesel were recorded in Bulgaria, while relatively low prices were also registered in Romania, Luxembourg, Cyprus and the Baltic States. The range between the highest and lowest pump prices in the Member States narrowed slightly between August 2005 and August 2010, such that by August 2010 the price of a litre of petrol in Greece was 1.46 times as high as in Bulgaria, while the price of a litre of diesel in the United Kingdom was 1.47 times as high as in Bulgaria.

Between August 2005 and August 2010 the price of petrol and diesel rose in each of the Member States for which information is available. The highest price increases - for both petrol and diesel - were recorded in Greece, reflecting to a large degree, increases in fuel tax and VAT increases that were imposed during 2010. At the other end of the range, overall price increases between August 2005 and August 2010 totalled less than 10 % for 11 Member States for petrol and for ten Member States for diesel.

Data sources and availability

Due to a change in methodology, there is a break in series and hence a relatively short time series available in relation to electricity and gas prices (from 2007 onwards). Nevertheless, even in this relatively short timeframe, electricity and gas prices have fluctuated considerably - in particular, gas prices.

The transparency of energy prices is guaranteed within the EU through the obligation of gas and electricity suppliers to send Eurostat information relating to prices for different categories of end-consumer (businesses and households), market shares, conditions of sale, and pricing systems. Electricity and gas tariffs or price schemes vary from one supplier to another. They may result from negotiated contracts, especially for large industrial consumers. For smaller consumers, they are generally set according to the amount of electricity or gas consumed along with a number of other characteristics; most tariffs also include some form of fixed charge. There is, therefore, no single price for electricity or gas. In order to compare prices over time and between countries, this article shows information for ‘standard consumers’ from the household sector and the industrial sector. There are in total five different types of households for which electricity prices are collected following different annual consumption bands, while for natural gas statistics are collated for three different types of household. Across business/industrial users, electricity prices are collected for a total of seven different types of user, while for natural gas prices there are six different types of user distinguished.

Statistics on electricity and natural gas prices charged to industrial end-users are collected under the legal basis of a European Commission Decision (2007/394/EC) of 7 June 2007 amending Council Directive (90/377/EEC) with regard to the methodology to be applied for the collection of gas and electricity prices. Directive 2008/92/EC of the European Parliament and Council of 22 October 2008 concerns procedures to improve the transparency of gas and electricity prices charged to industrial end-users. Note that gas and electricity prices for households are collected on a voluntary basis.

The prices presented cover average prices over a period of six months (half-year/semester) from January to June and from July to December of each year. The prices include the basic price of the electricity/gas, transmission, system services, distribution and other services. Electricity prices for households are normally shown including taxes and value added tax (VAT) as this generally reflects the end price paid by consumers at home. All electricity price data are given in euro per kilowatt hour (EUR per kWh); a similar set of criteria are used for gas prices, except the unit changes to euro per gigajoule (EUR per GJ). For the purpose of comparison, industrial gas and electricity prices are also shown including taxes, although in practice enterprises can often deduct the VAT paid.

Automotive fuel prices shown are at the pump prices of premium unleaded gasoline (petrol) 95 RON and automotive diesel oil. The prices are supplied to the European Commission’s Directorate-General for Energy and Transport by the Member States as being the most frequently encountered on the 15th of each month; as with gas and electricity prices, the prices that are shown are inclusive of all taxes. Eurostat also publishes price information on heating oil and residual fuel oil.

Context

The price and reliability of energy supplies, electricity in particular, are key elements in a country’s energy supply strategy. Electricity prices are of particular importance for international competitiveness, as electricity usually represents a high proportion of total energy costs to households and businesses. In contrast to the price of fossil fuels, which are usually traded on global markets with relatively uniform prices, there is a wider range of prices within the EU Member States for electricity or gas. The price of electricity and gas is, to some degree, influenced by the price of primary fuels and, more recently, by the cost of carbon dioxide (CO₂) emission certificates. It is possible that higher prices will provide an incentive for greater energy efficiency and lower levels of carbon emissions.

These issues were touched upon in a Communication from the European Commission titled, ‘Facing the challenge of higher oil prices’ (COM(2008) 384), which called on the EU to become more efficient in its use of energy, and less dependent on fossil fuels - in particular, by following the approach laid out in the climate change and renewable energy package.

The EU has acted to liberalise electricity and gas markets since the second half of the 1990s. Directives adopted in 2003 established common rules for internal markets for electricity and natural gas. Deadlines were set for opening markets and allowing customers to choose their supplier: as of 1 July 2004 for business customers and as of 1 July 2007 for all consumers (including households). Certain countries anticipated the liberalisation process, while others were much slower in adopting the necessary measures. Indeed, significant barriers to entry remain in many electricity and natural gas markets as seen through the number of markets that are still dominated by (near) monopoly suppliers. In July 2009, the European Parliament and Council adopted a third package of legislative proposals aimed at ensuring a real and effective choice of suppliers, as well as benefits for customers. It is thought that increased transparency for gas and electricity prices should help promote fair competition, by encouraging consumers to choose between different energy sources (oil, coal, natural gas and renewable energy sources) and different suppliers. Energy price transparency can be made more effective by publishing and broadcasting as widely as possible prices and pricing systems.

Further Eurostat information

Publications

Main tables

Energy(t_nrg), see

Energy Statistics - prices (t_nrg_price)

Prices of premium unleaded gasoline 95 RON (ten00102)

Prices of diesel oil (ten00103)

Gas prices by type of user (tsier050)

Natural gas prices for large industrial standard consumers (ten00104)

Electricity prices by type of user (tsier040)

Electricity prices for large industrial standard consumers (ten00105)

Database

Energy (nrg), see:

Energy Statistics - prices (nrg_price)

Energy Statistics: gas and electricity prices - New methodology from 2007 onwards (nrg_pc)

Energy Statistics: gas and electricity prices - Old methodology until 2007 (nrg_pc_h)

Gas and electricity prices for structural indicators - prices on 1st January (1991-...) (nrg_pc_priceind)

Petroleum products - half-yearly prices (nrg_pc_201)

Source data for tables and graphs (MS Excel)

Energy price: tables and graphs (Excel)