Iran war drives German electricity prices up 16% for new customers

BERLIN

Germany's electricity prices for new customers have jumped 16% since the Iran war began late last month, according to comparison portal Verivox.

In February 2026, German households using 4,000 kilowatt-hours of electricity per year paid about 24 cents per kilowatt-hour for the cheapest 12-month fixed-rate plan. Today, that same plan costs around 28 cents per kilowatt-hour – an increase of nearly 16%.

The price jump has effectively wiped out the relief provided by a €6.5 billion ($7.5 billion) government subsidy introduced last year to lower transmission network fees.

"Such price increases affect offers for new customers fastest, because these are calculated particularly short-term," said Thorsten Storck, energy expert at Verivox.

"We haven't yet seen an increase among existing customers. However, if international energy prices remain at the current high level, existing customers in Germany will also receive price increases,” he added.