Heating Costs Expected to Rise by Up to 23% for Consumers

As the heating season comes to a close, initial assessments reveal that consumers reliant on gas heating will face significantly higher costs. According to a recent analysis by the comparison portal Verivox, gas heating expenses have surged by approximately 23% due to weather conditions and price fluctuations. This data has been released to the press.

For oil heating customers, the situation appears more varied; while prices have decreased, they are still likely to incur an overall increase of about 1% in heating costs. However, some experts from HeizOel24 suggest that oil users may experience stable or slightly lower costs. The director of HeizOel24 indicated that the effects of the price shock from 2022 have now been absorbed.

Data from Verivox shows that households required an average of 11% more heating from September to March compared to the previous year. The winter of 2024/2025 has been noted as the fourteenth consecutive mild winter, albeit with distinct cold spells. On average, gas heating for a single-family home cost about EUR1,858 last winter, up from EUR1,515 the previous heating period.

In addition to lower temperatures, the reinstatement of the full VAT rate of 19% on natural gas in April 2024 has contributed to rising costs for households, according to Verivox energy expert Thorsten Storck. However, the extreme prices seen during the energy crises of 2022 and 2023 are no longer applicable.

The average heating oil costs for a single-family home were approximately EUR1,554 during the last heating season, reflecting a slight increase of around 1%. The reduction in heating oil prices has nearly balanced the increased demand for heat. Individual household costs will vary based on the timing of their heating oil orders.

Since the beginning of the year, heating oil prices have been on a downward trend, according to Klapschus from HeizOel24. Gas users are now paying similar amounts to those using heating oil. Additionally, wood pellets have also seen a decrease in price.

Analysis from the energy service provider Techem revealed a nationwide average increase of 23.6% in heating consumption for heating oil, natural gas, and district heating compared to the previous year. Techem's CEO noted that efforts to reduce energy consumption have diminished, indicating that many consumers will face additional burdens when settling their heating bills.

In Germany, millions of residences utilize oil and gas for heating. A study by the Federal Association of Energy and Water Management indicates that nearly three-quarters of heating systems rely on these fossil fuels.

The new Building Energy Act (GEG), often referred to as the heating law, aims to facilitate a gradual transition from outdated heating systems to more climate-friendly alternatives, such as heat pumps. The prospective coalition government of the Union and SPD intends to repeal this heating law, proposing instead a new GEG that would be more flexible and technologically neutral. The continuation of government subsidies for heating is also part of their agenda.

Landlords have one year to settle service charge accounts, including heating costs. Most tenants receive their statements in the last quarter of the year, as noted by the German Tenants' Association. A spokesperson emphasized that an increase in the CO2 price starting in 2025 will also lead to higher heating costs for households relying on fossil fuels.

Landlords play a crucial role in determining heating costs, as factors such as the state of the building's insulation, the choice of heating system and energy source, and the efficiency of the heating system significantly influence energy consumption. Older heating systems tend to consume more energy.