Soaring Electricity and Gas Prices in the Czech Republic

Starting from January, households in the Czech Republic will face a significant increase in payments for electricity. Families with a typical consumption of 3000 kilowatt-hours will pay thousands of crowns more per year than they currently do. This change is due to an increase in the regulated part of the price, which will account, on average, for forty percent of the total payment next year.

The Energy Regulatory Office is responsible for this price hike. They have raised this part of the price by almost 66 percent. The reason? The government will no longer be paying for household support for renewable sources or the increase in distribution costs, as it has been doing this year.

The price increase will affect all households with a fixed price and those with current prices under the government’s cap of 6 CZK per kilowatt-hour of bulk electricity with VAT. But those who have, for example, an indefinite contract with ČEZ and are currently paying a high total price above eight crowns per kWh will only see a slight increase, as the company will reduce the price of bulk electricity from January.

The government states that prices will only increase minimally, but it argues this by comparing with high prices from January. It does not consider that many suppliers have been offering deliveries far below this level by tens of percent since spring.

In addition to renewable sources and distribution, the monthly payment according to the size of the circuit breaker will also increase by hundreds of crowns a year. The regulated part of the gas will increase by almost forty percent, and the total price will rise by several thousand.

The rising electricity and gas prices in the Czech Republic are a cause of concern for many households. The changes are imminent, and families must brace themselves for larger bills in the coming year.