Household energy prices rose by an average of 42 percent in November

Although there was a slight relaxation in household energy prices compared to October, the average year-on-year increase was around 42 percent, according to calculations by the Austrian Energy Agency. There were particularly strong increases for wood pellets (+148 percent) and natural gas (+109 percent), where prices more than doubled. “In view of the current wholesale situation, a return in household customer prices to the pre-crisis level is not to be expected in the short or medium term,” according to the Energy Agency. However, there has recently been a slight relaxation. The federal government’s electricity price brake came into force in December 2022. There has been a price collapse on the wholesale markets in recent weeks. The very mild temperatures in combination with Europe-wide efforts to save energy and the generally reduced energy demand around the public holidays in December have led to an unexpectedly low demand for gas.

“For customers with spot price or float tariffs that are closely tied to wholesale prices and have not changed even during phases with extreme prices, these price drops are felt immediately or with a slight delay,” says the energy agency. This also explains the slight drop in electricity prices of around 4 percent in November compared to October. Customers who have contracts with a price guarantee or an annual or semi-annual price adjustment clause would have to wait until the next price adjustment. These are usually at the beginning of the quarter.

Year-on-year, household prices for electricity in November were still almost a fifth higher than in November 2021. Heating oil rose by 77 percent year-on-year, district heating by almost 62 percent, and firewood was 83 percent more expensive on average.

Although fuel prices fell compared to October, they remained expensive overall. Diesel cost 38 percent more in November than in November 2021, and premium petrol rose by around a fifth.