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Gas operators announce level of surcharge for German customers

The Local Germany
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Gas operators announce level of surcharge for German customers
A gas flame burns on a kitchen stove in an apartment. Photo: picture alliance/dpa | Hauke-Christian Dittrich

Gas customers in Germany will face significant additional energy costs from the autumn. The state gas surcharge will be 2.419 cents per kilowatt hour.

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On Monday, Trading Hub Europe, a joint venture of German gas transmission system operators, announced a state gas surcharge of 2.419 cents per kilowatt hour.

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The levy, which is intended to benefit gas suppliers who have had to find more expensive alternatives to Russian gas supply, will apply from the beginning of October. 

READ ALSO: How Germany is saving energy ahead of uncertain winter

For a single-family household with an annual consumption of 20,000 kilowatt hours, the additional cost would therefore amount to around €484 a year, before VAT. However, the German government wants to prevent VAT from becoming charged on the tax levy.

The levy had been expected for some time, and the Ministry of Economics had predicted that the surcharge would fall between the range of 1.5 to 5 cents per kilowatt hour. The additional 2.419 cents, therefore, falls in the lower range of the expected cost.

The Ministry of Economics sees the levy as a consequence of the Russian war in Ukraine. Since mid-June, Russia has reduced its gas imports to Germany in an unpredictable manner, which has created an energy shortage and driven up prices.

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This "external shock" is particularly affecting Germany, which has so far been heavily dependent on cheap gas from Russia. 

The levy, which will apply from the beginning of October, will not be immediately visible on customers' bills. For consumer protection reasons, announcement periods of four to six weeks must be followed by the Energy Industry, meaning the additional charge will probably first appear on bills in November or December.

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