Overview

• Average household rates hit 38 cents per kWh in the first quarter of 2025, ranking Germany among the five costliest markets worldwide according to Verivox and Global Petrol Prices.
• Fixed charges—including grid fees, taxes and surcharges—now represent over 50 percent of total electricity costs, limiting consumers’ ability to influence their bills.
• The coalition’s relief package mandates cutting the electricity tax from 2.05 to 0.1 cents per kWh and capping grid fees to secure at least 5 cents per kWh in savings from July.
• Economic Minister Katherina Reiche has unveiled plans to tender at least 40 new gas-fired power plants designed for future conversion to hydrogen to bolster supply security and support the energy transition.
• When adjusted for purchasing power, Germany ranks 22nd out of 143 countries for electricity affordability, compared with a global average price of about 15 cents per kWh.