New data on the development of electricity and gas prices in the European Union

The virtual reality created by the media gives the impression that the growth in electricity prices is way out of control, and that it is significantly higher than the growth in prices of other energy sources. But what is the situation really like in the EU and in the Czech Republic? Let’s take a look at the hard data published by the EUROSTAT agency:

Graph No. 1 Electricity prices

It is clear from the graph that the prices of electricity for industrial use have increased by 19.1% and for households by 52.3% since 2000.

Graph No. 2. Development of natural gas prices

Within the same period, the prices of natural gas for industrial use increased by 120.8% and those for households by 73.6% in the EU. The prices of natural gas thus show significantly higher growth dynamics than the prices of electricity.

A similar picture emerges when we compare the development of electric energy and natural gas prices in the EU and in the Czech and Slovak Republics since 2004, i.e. from the date of our entry to the EU.

Graph No.3 Development of electricity prices in the EU and in the Czech Republic and Slovak Republic since 2004

It is clear from the graph that electricity prices have increased for households by 19.8% in the EU, 66.9% in the Czech Republic and by 26.3% in the Slovak Republic since 2004, while prices in the Czech Republic reached 90% and in Slovakia 105.4% of the prices in the EU in 2009.

Graph No. 4 Development of natural gas prices in the EU, Czech Republic and Slovak Republic since 2004

Natural gas prices for households increased by 53.6% in the EU, 114.6% in the Czech Republic and 76.3% in the Slovak Republic between 2004 and 2009.

From the presented data it is clear that:

1. The dynamics of the growth in natural gas prices in the EU are significantly higher than those of the prices of electricity in the EU in the past 10 years (+73.6% , +52.3%)
2. In the last four years, natural gas prices for households have increased by 53.6% in the EU
   (114% in the Czech Republic and 76% in Slovakia),
   while electricity prices have grown by 19.8% in the same period
   (67% in the Czech Republic and 26% in Slovakia)

In Jeseník on 8.9.2010, Ing. Cyril Svozil