Dutch gas prices among Europe’s highest, taxes seen as key factor
Dutch households face some of the highest gas prices in Europe, with the average rate reaching 17.8 cents per kilowatt-hour (kWh), according to data from the Household Energy Price Index (HEPI) analyzed by energy comparison platform Energievergelijk.nl. Only Sweden and Switzerland have higher gas tariffs.
The report highlights that Dutch consumers pay significantly more than their neighbors. The primary reason for the elevated gas prices in the Netherlands is the heavy tax burden. Energievergelijk.nl calculated that more than 60 percent of the variable gas tariff is composed of energy taxes and value-added tax (VAT). HEPI’s analysis, which also accounts for network and fixed delivery costs, puts the figure at 51 percent — the highest tax rate on gas in Europe. Slovakia follows at 32.8 percent, with Sweden at 31 percent.
In Belgium, the average gas price is 9.3 cents per kWh, while in Germany it is 11.9 cents per kWh. Eastern European countries generally have the lowest gas prices, thanks to price caps and government subsidies that help lower energy costs for households.
“The energy tax is essentially an excise tax designed to discourage gas use and encourage the transition to electricity,” said Koen Kuijper, an energy expert at Energievergelijk.nl. “Households that have fully transitioned away from gas and have properly insulated homes pay far less in taxes on their energy bills. However, for many households, transitioning to a gas-free home is simply not feasible.”
According to Energievergelijk.nl, households with average energy consumption see 35.3 percent of their total energy bill comprised of taxes. For homes with lower gas consumption—due to good insulation or the use of hybrid heat pumps—this percentage drops significantly. Fully gas-free households generally experience the lowest tax burden.
Kuijper pointed out several barriers preventing households from adopting sustainable energy solutions, including high upfront costs for heat pumps, inadequate insulation, and the limitations faced by tenants who rely on landlords to make decisions.
“The high gas tax feels unfair to many people because they have limited options,” Kuijper said. “Ultimately, it remains a political choice to keep the tax on gas so high.”
Despite a slight reduction in energy taxes in 2025—0.6 cents per cubic meter of gas and 0.9 cents per kWh of electricity—households are still facing higher energy bills. This is due to an increase in network management fees, which offset the tax relief.
At average consumption levels—2,479 kWh of electricity and 1,169 cubic meters of gas—households are expected to pay an additional 1 to 5 euros per month in 2025 compared to 2024, Kuijper said.
In contrast to gas, electricity prices in the Netherlands rank in the middle compared to the rest of Europe. At 25.2 cents per kWh, Dutch electricity rates are slightly above the European average of 23.5 cents. However, neighboring countries are significantly more expensive. German households pay over 40 cents per kWh, while Belgians pay 37 cents per kWh.
Electricity prices in Europe vary widely due to differences in energy production methods and government policies. Countries like Norway and Sweden benefit from abundant and affordable hydropower, while many Eastern European nations artificially lower consumer prices through subsidies or price caps.
The analysis by Energievergelijk.nl draws on data from HEPI’s December 2024 report, which was compiled by researchers at e-Control, MEKH, and VaasaETT. The report examined energy prices in 33 European capitals, using a standardized price per kWh to account for differences in gas combustion values across countries.
