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Energy costs are a greater burden on households in eastern Germany

Energy costs are a greater burden on households in eastern Germany
Given their lower incomes, households in eastern Germany pay comparatively more for heating, electricity, and gas. (Stock photo) / Photo: Fernando Gutierrez-Juarez/dpa-Zentralbild/dpa
From: DieSachsen News
Heating, fuel, and electricity costs take up a larger share of income in the east than in the west. However, a comparative analysis shows that one western German state is particularly hard hit.

According to a new analysis by the comparison portal Verivox, energy costs continue to weigh more heavily on households in eastern Germany than on consumers in the west. The analysis shows that purchasing-power-adjusted spending on heat, electricity, and fuel in the east is, on average, 16 percent higher than in western Germany. 

A western German state tops the list

Taking purchasing power into account, a typical household in western German states spends 2,545 euros on heat, electricity, and fuel, according to Verivox. In eastern Germany, by contrast, the figure is 2,973 euros: 350 euros above the national average and 428 euros above the level in western German states. For its calculations, the comparison portal examined energy costs for the months of January through July.

However, Bremen—a West German state—tops the list. According to the analysis, purchasing-power-adjusted energy costs there are 22 percent above the national average. It is followed by Thuringia (20 percent), Saxony (17 percent), Saxony-Anhalt, and Mecklenburg-Western Pomerania (16 percent each). Households in Bavaria fare better, where energy costs are 12 percent below the national average.

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Heating and fuel costs are the main drivers

According to the analysis, the greatest differences lie in heating and fuel costs. In addition to regional price differences for electricity, gas, and fuels, varying purchasing power plays a particularly significant role, said Thorsten Storck, an energy expert at the comparison portal. “In regions with lower purchasing power, comparable energy costs account for a larger share of disposable income.”

The analysis is based on purchasing-power-adjusted comparative figures extrapolated to a full year and does not reflect the actual bill amounts for an average household.

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