Expect higher energy bills next year; up €327 on average

Dutch consumers can expect a considerable increase in their energy bills as of January 1st. Gas and electricity became more expensive and the energy companies will start to process this into their prices. Energy tax is also increasing sharply, RTL Nieuws reports.

Eneco, Essent and Nuon, the Netherlands' three largest energy suppliers, are all implementing large price increases. Those who have a variable energy contract, and therefore no set prices, will definitely notice the increase. For an average multi-person household, the energy bill will increase by 327 euros next year, according to Pricewise. This includes network management and transport and taxes. Without these associated costs, prices are still increasing sharply, ranging from 141 euros at Essent to 206 euros at Eneco.

The high price increases can partly be attributed to the costs of CO2 emission rights tripling. Energy suppliers have to pay for the CO2 they emit, calculated through a complicated emission system. Less gas production in Groningen and the cold winter of last year also play a role in a the price increases.

The tax on energy is also increasing next year. More money has to go to the so-called Sustainable Energy Storage, with which sustainable initiatives are subsidized. Each household receives part of the energy tax they paid back, but in 2019 that amount will decrease. Together these measures mean that the average family will pay 150 euros more on energy tax next year. People with fixed energy contracts are also affected by these increases.

Energy tax increased by 68 percent over the past five years, according to the broadcaster. Almost half of the energy bill now consists of tax. This is intended to discourage energy consumption. The government wants to encourage people to take sustainable measures so they pay less on energy. 

Tags: