Energy bill higher despite tax cut

Dutch households with average energy consumption face a 4.8 percent higher energy bill  in January 2007 than in December 2006. Due to abolishment of the MEP levy, the increase is considerably smaller than one year previously.

Changes in the energy bill

Average household pays 85 euro extra

Households with average energy consumption pay 1,865 euro in 2007, as a result of the rate increase, at least 85 euro more than in December 2006. Half of the energy bill consists of supply costs for natural gas and electricity and one third of energy tax and VAT. The remaining 17 percent are transport costs.

Entries on the energy bill

Electricity supply costs 18.5 percent up

Supply costs have risen most compared to December 2006. Supply costs of electricity and natural gas have risen by no less than 18.5 and 10.6 percent respectively. Abolition of the MEP levy not entirely compensates for the increase in supply costs. Costs of transport remained fairly stable compared to December 2006.

Consumer price index

Natural gas price more than doubled since 2000

The average energy bill has soared by over 75 percent since 2000. The price of natural gas has  more than doubled and electricity became almost 50 percent more expensive. The price increase of the energy bill far exceeds the consumer price index. The inflation rate in the Netherlands over the same period was 14.7 percent.

Joost Huurman and Henk Verduin