How to Find the Best Electricity Price in Germany

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Written By Alex

The electricity price in Germany, like many other costs of living, has changed significantly in recent years. The current electricity price averages an incredible 32 cents per kilowatt-hour. When I moved to Germany, more than a decade ago, it was “only” 28 cents.

In this article we will explore how a foreigner can find good deals for electricity in private households.

Key takeaways

1. Reading the electricity meter is part of the flat handover when renting a new flat.
2. Switching electricity providers in Germany is simple and straightforward.
3. A family household needs about 4,000 kWh per year.
4. A one-person household pays about 600 euros a year for electricity in Germany.
5. You can choose from hundreds of energy providers in Germany.
6. The best way to find the cheapest electricity tariff in Germany is to use an electricity calculator.

How to use the electricity calculator without speaking German >> READ HERE OUR FULL GUIDE >>

CLICK HERE for Electricity Calculator Germany Verivox* >>

Topics in this article

How does household electricity in Germany work? >>

What is the electricity price in Germany? >>

What are the costs of electricity in Germany for a household? >>

Electricity companies in Germany with the best electricity price >>

Electricity price brake Germany – Strompreisbremse >>

Electricity calculator in Germany [Step by Step Guide] >>

How does household electricity in Germany work?

Haushaltsstrom in Deutschland Household electricity in Germany

How to connect your home to electricity in Germany?

In every house and flat, an electricity meter is installed.

In apartment buildings, you will usually find the electricity meter in the basement or directly in the individual apartment units.

When you rent a new flat, part of the handover process is to do a meter reading.

This meter reading is then sent to the electricity provider of your choice, together with your

  • contact details
  • bank account
  • and estimated consumption.

You arrange the desired connection date. And from then on, you have electricity in your house or apartment.

Can you change the electricity provider in Germany?

Wechsel des Stromanbieters in Deutschland Changing the electricity supplier in Germany

Switching electricity providers is similarly straightforward.

The comparison website Verivox* makes it easy to compare different electricity providers in your region.

Especially on the rising energy prices, it can be worthwhile to make a comparison regularly.

Electricity supplier changes are to be accomplished under observance of the period of notice entirely simply.

First, you have to terminate your existing electricity provider in good time before the end of the contract.

Then agree with a new electricity provider in Germany on a new contract start date.

Many electricity providers now offer bonuses and support when changing contracts.

If you are still in the primary supply, you can change your electricity provider in Germany within two weeks.

How to cancel your existing contract for electricity in Germany?

Notices of termination should always be sent to the existing electricity provider in Germany by mail.

Choose a registered letter with a return receipt for sending the termination letter.

This way, you will receive written confirmation that the current electricity provider has received the notice of termination.

If you have found a new electricity provider that offers an appropriate cancellation service, you do not have to take care of this yourself.

If the new electricity provider is commissioned in good time, you can assume that the old provider will be given notice accordingly.

What is the electricity price in Germany?

Strompreis in Deutschland Electricity price in Germany

As already mentioned, all energy prices in Germany are rising. This affects not only electricity but also oil, gas and water.

For 4,000 kWh, a family of three has to pay more than 1,400 euros per year.

Regions in Germany with lowest price

According to a study by Verivox, the two regions with the lowest average electricity prices in Germany are:

  • Bavaria
  • Saxony.

Here the electricity price varies on average between 1.200 euros and 1.400 euros for 4.000 kWh.

Electricity price depending on the source (Strom – Energiemix vs. Ökostrom)

In Germany, the price of electricity depends on the selected power source.

Green electricity (Ökostrom) consists of 100% renewable energy sources such as:

  • wind power
  • hydropower
  • biomass
  • geothermal energy
  • or solar energy

On average, green electricity is not more expensive than standard electricity.

Compared to so-called basic supply tariffs (Grundversorgungstarifen), green electricity can sometimes even be a few cents cheaper than standard electricity.

The electricity price always consists of a basic price and a consumption price.

In most cases, electricity tariffs that consist of a proportion of nuclear power are cheaper than those composed of coal, natural gas, or purely renewable power sources.

Is electricity price lower at night?

Nachtstrom in Deutschland Night-time electricity in Germany

Many providers offer night-time electricity at a lower price than daytime electricity.

This is because electricity providers want to ensure that their power plants are also used to capacity at night.

If your apartment or house has a night storage heater a special night electricity tariff may well be worthwhile for you.

For this, however, you must select a separate tariff for night and daytime electricity from your desired electricity provider.

What are the costs of electricity in Germany for a household?

Many studies and comparisons use an average consumption for a family household of 4,000 kWh.

This primary consumption corresponds to slightly more than a 3-person household.

Verivox assumes a 3-person household with a consumption of 3,500 kWh.

In the following examples, I assumed a contract period of up to 12 months.

In addition, all bonuses were included, which one receives from the respective providers.

The prices can vary depending on the federal state, of course.

Electricity costs in Germany for single households

Electricity costs for a single household in Germany, with an estimated consumption of 1,500 kWh, range from 520 euros a year to 850 euros a year.

However, the differences vary greatly depending on the provider.

How much does electricity cost in Germany for a couple?

Strompreis in Deutschland für ein Paar Electricity price in Germany for a couple

Couples are assumed to have an average electricity consumption of around 2,500 kWh per year.

According to my recent electricity price comparison with Verivox, with the cheapest provider you would pay about 740 Euros per year.

The most expensive provider, based on my comparison, charges about 1,200 Euros per year with the same conditions.

The offers and the names of the energy suppliers can change.

So it’s worth comparing prices.

Is the price of electricity in Germany lower for a bigger family?

For couples with one or more children, one calculates with electricity consumption of 3,500 kWh to 4,250 kWh.

In this case, the cheapest provider in my comparison, in my city in Sothern Germany, was charging between 1,100 and 1,300 Euros.

On the other hand, the most expensive provider offers an electricity price that varies between 1,500 and 1,800 Euros per year.

So you should inform yourself thoroughly in advance.

Electricity companies in Germany with the best electricity price (concrete examples)

Which electricity companies in Germany can I choose from?

Stromanbieter in Deutschland Electricity suppliers in Germany

The 4 largest electricity suppliers in Germany are E.ON, RWE, EnBW, and Vattenfall.

These electricity suppliers belong to the group of transmission system operators (TSO) in Germany.

Germany is divided into four control areas.

The grid operators themselves also offer electricity tariffs for their German customers. However, this does not necessarily result in a real advantage for each individual.

All other electricity providers buy directly from these grid operators in Germany and create their tariffs and compositions.

Major green power providers in Germany include:

  • Lichtblick
  • Grünwelt Energie
  • and Greenpeace Energy.

As already mentioned, these are not necessarily the most expensive providers.

In addition, there are also so-called discount energy providers.

Many of them get their electricity either from state-subsidized power sources or from nuclear power plants.

Depending on what you choose, the rates can also be more or less favorable.

Can I change the electricity provider in Germany?

While you can easily change your electricity provider, it is not possible to change the network operator per se without moving.

The network operators have been assigned particular areas by the federal government that they can supply.

What should I look for when choosing the tariff of different electricity companies in Germany?

There are some recommendations from Verivox that you should consider if you choose a different electricity provider.

Here is a short explanation for you with the corresponding German terms.

Verivox thus corresponds to the recommendations of Stiftung Warentest.

Minimum contract period (Mindestvertragslaufzeit)

The minimum contract period should not exceed 12 months. This allows you to get out of a contract early if rates adjust disproportionately in the coming year.

Cancellation Period (Kündigungsfrist)

The notice period should not be longer than six weeks. This gives you the opportunity to cancel even shortly before the end of the contract period.

Extension of contract (Vertragsverlängerung)

Some electricity providers automatically extend the current contract for another 12 months if you miss the cancellation deadline. When choosing a new electricity provider, make sure that your contract is extended by a maximum of one additional month.

Price guarantee (Preisgarantie)

You should also pay particular attention to the contract’s wording when it comes to the price guarantee. Not every electricity provider offers you a price guarantee for the minimum contract period. So you may calculate with a favorable electricity tariff and are surprised at the end of the year when you have paid more than planned.

Bonus for new customers (Neukundenbonus)

Do not calculate the new customer bonus into the total price in the first year. Even so, you may be surprised by the higher costs in the second year.

Customer referral rate (Kundenempfehlungsquote)

A final important criterion is the customer recommendation rate. This rate shows you how many existing customers would recommend the future provider of your choice. The higher the value, the more likely that existing customers will be satisfied with the services and prices.


How does Electricity Price Brake Germany (Strompreisbremse) work?

Electricity price brake Germany Strompreisbremse

In order to stop the electricity price increase in Germany, the government decided to introduce the so-called Strompreisbremse (electricity price brake) starting with March 1st 2023.

What does Strompreisbremse mean?

Private households and small businesses will pay maximum 40 cents / kWh for 80% of their electricity consumption, calculated based on the consumption in previous year. For the rest 20% they will pay the price the have in the contract.

This price cap will be available retroactively from January 1st 2023. The valability of this exceptional rule is valid until April 2024, at least. Let’s see.

In order to benefit of this price reduction, your energy consuption should not be higher than 30,000 kWh per year. Which is really really high.

Find the best price with electricity calculator in Germany [Step by Step Guide]

Stromvergleichsrechner Power comparison calculator

The easiest way for you to find a new electricity provider in Germany is to use the comparison option of Verivox.

I have summarized all the necessary steps here with the respective explanations that make the electricity provider change particularly easy.

Step 1: Start electricity provider comparison

Call up the electricity provider comparison from Verivox.

Start with the first basic information.

electricity comparison website Germany start page

Enter your postal code (your zip code) at 1).

This way, Verivox can find all possible electricity providers that are available in your place of residence.

At 2) Select the number of residents in the apartment or house.

Under 3) you will get the first suggestion for a recommended kWh number.

If you already have experience with your regular electricity consumption, you can also enter your estimated electricity consumption in this field.

By clicking on the button (Compare now) at 4) you will get to the overview of electricity providers that come into question for your place of residence.

Step 2: Select electricity provider

The following page will take you to the overview of all available electricity providers based on the settings you have made.

electricity price in germany calculator select energy provider

At 1) you can view your data from the previous page and, if necessary, change it again via “Change details.”

Suppose you are already a customer of an electricity provider and simply want to change it.

In that case, it is advisable to select the current electricity provider and the current tariff name under 2).

This will tell you further down the list of electricity providers how much you will either save or have to pay on top if you choose a different tariff.

Under 3) you can define whether you want to see the annual price or rather the monthly price.

4) and 5) each show two optimal rates that correspond to the recommendations of Verivox. Under tariff details (Tarifdetails) in the middle of the blue box.

If you click on the “Zum Angebot” (to the offer) button under 6), you will be taken directly to the rate details and the next step.

Step 3: Check tariff details

If you click on 1) “Wechsel in 5 Minuten” (Switch in 5 minutes) in the following screen, you will be taken directly to the next step, where you can enter your data.

Under 2) you can once again view all tariff details, and under 3) you can once again change or adjust the information you have entered so far.

selecting cheapest electricity supplier germany

Step 4: Fill in personal data

In the next step, all essential personal data is requested. Enclosed you will find an overview of all terms used for the individual steps.

entering personal data electricity calculator germany
enter bank account data for electricity price in Germany comparison
finalize the data completion in electricity calculator germany

At 1) enter your email address where you want to receive your contract information.

Under 2) enter the address of your future or existing residence.

Enter your name and address

Under “Vorname” enter your first name, under “Name” your last name.

Add at “PLZ” your postal code/zip code and, in the second text field to the right, the city of your residence.

Below that, you can enter the “Street and house number” (Strasse und Hausnummer) in two separate text fields.

If you want to receive the bill for the electricity connection to the same address, select the item “Yes, please accept.”

If you want to enter a different billing address, activate the radio button at “No, different billing address.”

You will then have to enter the billing address in additional text fields.

Additional information

At 3) “Additional information” (Zusätzliche Informationen), you will be asked for your area code and phone number.

This information is optional and not required for the conclusion of the contract. In the date selection below (date of birth), you only need to enter your date of birth.

Payment method

Under 4) “Payment method/Bank details,” select your desired payment method. Your new electricity provider will then either use direct debit (Bankeinzug), or you can alternatively opt for bank transfer (Überweisung).

If you currently only have an account abroad, you must contact Verivox customer service beforehand or change your bank. For this topic check out my article How To Open a Bank Account in Germany.

If the account holder differs from the orderer, you have to activate the radio button at “differing account holder” and enter his data.

Confirm at 5) the direct debit authorization. This allows your new electricity provider in Germany to debit the monthly amounts directly from your account.

Password

If you want to manage your contracts easily in the future, you should define a password under 6) “Your customer account,” with which you will still have access to Verivox.

Once you have filled out the form completely, you can proceed to the next step by clicking on the “Continue to connection data” button.

Step 5: Electricity Supply Information

entering electricity meter number electricity calculator

In the next step, you specify under 1) whether you want to change your electricity provider (Ich möchte den Anbieter/Tarif wechseln) or whether you are moving (Ich ziehe um).

Under 2) you have to enter your current (when changing provider) or your future electricity meter number.

If you do not currently have the meter number available, you can also submit it by email.

By clicking on button 3) “Weiter zur Überprüfung,” you will be taken to the next step.

Step 6: Check and confirm contract data,

contract data in electricity price in Germany calculator

On the last page, before concluding the contract, you have the opportunity to check all the details of the contract.

If you agree with the terms and conditions and your information is correct, you confirm by activating the checkbox under 1) the placing of the order (placing of the order).

Under 2) you must confirm that you have read and agree with the privacy information.

Checkbox 3) and 4) are optional. If you also want to receive the free Verivox newsletter in the future, you should confirm the checkbox under 3). If you are interested in being informed about offers by your future electricity provider, activate the checkbox under 4).

Click on button 5) “Order with obligation to pay” to conclude the contract.

Conclusion

As you can see, switching electricity providers or selecting an electricity provider is not that complicated. Verivox makes it much easier to compare electricity providers in Germany with its platform. I hope that I was able to help you with the information.

This is what you could read next:

USEFUL INFORMATION ABOUT UTILITIES IN GERMANY

> Cost of Home Utilities in Germany: Electricity, Gas, Heating, Water

> How to Open a Bank Account in Germany

> Internet Providers Germany, Phone, Cable TV

> Registration in Germany Anmeldung Seen by a Foreigner

> Loan in Germany: Find Best Rates With This Loan Calculator


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