Analysts estimate that energy prices for Czech households will rise in the coming months not only for electricity and gas, but also for coal, for example.
For electricity and gas, they expect prices for unfixed products to rise by up to 20 percent in the autumn at the latest due to high wholesale prices, which may mean that people will pay up to thousands of crowns.
Electricity is becoming more expensive by emission allowances
Analysts also agree that wholesale electricity prices are driving up mainly the record prices of emission allowances paid by coal-fired power plants or industrial companies per tonne of carbon dioxide (CO2) emitted into the atmosphere. The price of emission allowances in the EU last week exceeded 60 euros (over 1,500 CZK) per tonne for the first time, currently according to data from the Intercontinental Exchange (ICE), which monitors prices, the price is around 62.5 euros per tonne.
The Emissions Trading Scheme is the EU’s main tool for reducing greenhouse gas emissions and became operational in 2005. The price of allowances has roughly doubled in the last year. More ambitious emission reduction targets and record gas prices have contributed to this. At the end of August, Petr Bartoň, chief economist of the Natland investment group, said that there was practically no scenario according to which electricity in Europe would become significantly cheaper in the coming years.
“Such a rapid and sharp rise in wholesale electricity prices should be followed by a correction, but no one knows when and at what level it will occur,” said ENA analyst Jiří Gavor, who also serves as executive director of the Association of Independent Energy Suppliers (ANDE). ). According to Gavor, in addition to allowances, expensive natural gas has become the main driver of the increase in stock exchange prices for electricity.
“At least there is hope that after the commissioning of the Nord Stream 2 gas pipeline, Gazprom will throw increased volumes of supplies on the market, which will push the price of gas down a bit. Unfortunately, it is certain that the end of this year will be marked by higher prices for end customers of all types of energy, “added Gavor.