Choosing an electricity provider in Germany- An Overview

Electricity Provider in Germany

Did you know that you can save up some expenses off your list by choosing the best and cheapest electricity provider in Germany? Yes, you read that right. Expats tend to not pay attention to expenses like these as apartments often comes with electricity as well. But if you are up to save some euros by choosing a cheaper electricity provider, this blog is for you. Keep reading!

Just to make it clear, you do not have to register yourself with any German electricity provider to have electricity as, they are required by law to provide uninterrupted service (EnWG § 36 Grundversorgungspflicht).

The local provider that came with the house will eventually send you a letter asking for payment. With this document, you simply list the date you moved in, and you will be responsible for all of the charges since then. As defined by law, this standard contract can be canceled by giving two weeks’ notice, in this time period you can compare different electricity providers and choose the one that fits in your budget.

Related Guide

Registration You can  a detailed overview of the Blocks

Providers in Germany

In Germany, there are various electricity provider options to choose from, their energy is all sourced from the same national grid. The difference is not only based on price – but also on the type of energy such as renewable, coal, and nuclear; the suppliers such as farmers with solar arrays, and off-shore wind farms, and beliefs like vegan, cooperative, etc.

Some of the leading electricity providers in Germany are

  • E.ON Energie
  • Vattenfall

Renewable Electricity providers in Germany 

These providers are the ones that provide comparatively better services and prices than the standard providers. Some of the renewable electricity providers are:

  • Ostrom
  • Lekker Energie
  • Naturstrom
  • Knauber Strom

English Electricity provider

Ostrom is one of the first electricity providers to offer their services in English and all digital. Additionally, they offer a single plan, which makes it convenient when choosing it. It is sourced from renewable energy. It does not offer contract-based offers. So, you can switch, if you are not satisfied.

Procedure for registering with Electricity providers

Find an offer that matches your needs by providing an estimate for your consumption. There are many comparison tools online such as Verivox, check24, Sparstorm, and Stromauskunft.
By using these tools, all possible tariffs to your basic city provider (Grundversorger) will be compared. You have two weeks to the end of the month to serve your legal notice with the Grundversorger.

  1. You select and conclude a contract with your preferred provider, you fill in the necessary details and maybe your bank details too. (Only German banks are allowed)
  2. You provide information about your electricity meter (“Stromzähler“) to your new provider.
  3. Your new provider notifies your old provider of the switch. There is no need to cancel the contract yourself.
  4. You prepay your consumption in installments during the first year. After the first year, your provider has enough historical data to assess your real consumption. This may result in a refund if you used less than expected. Your new installments will be adjusted accordingly.

How Kw is calculated?

The average power price for households and small businesses in Germany stood at 31.94 cents per kilowatt hour (ct/kWh). The average yearly electricity consumption ranges from 1500 kWh – 6000 kWh for one person to large families.

How to pay your electricity bill in Germany?

It’s a simple method, during the provider change process, you would have entered your bank details. Hence, there will be an automated deduction every month when the bill is prepared.

If your consumption is less than what you have estimated you will receive the money back after 12 months. In case it exceeds the estimate, you will receive an additional invoice requesting an additional payment (Nachzahlung).

Things to keep in mind before finalizing a provider

  • The first point to keep in mind is how the billing will be for the first year, as mentioned earlier your first bill will be based on your estimated usage until the time of switching. This means your bill can either be more or less than the estimation. After the first year, the new bill will be adjusted according to the usage.
  • Make sure you choose the installments according to your convenience as it is easier to pay it on a monthly or quarterly basis than a lumpsum amount in the end.
  • If are sharing a flat with someone, then make sure the person signed up for the contract is the main tenant. In the case of a short-term rental or sublet, those costs are included in the Nebenkosten, under which circumstance you do not require a contract of your own.
  • Choose providers that use completely renewable energy, as mentioned earlier they often tend to provide better services with better prices.

IMPORTANT TIPP

You get a detailed overview about the Blocks

How to pay your electricity bill in Germany?

It’s a simple method, during the provider change process, you would have entered your bank details. Hence, there will be an automated deduction every month when the bill is prepared.

If your consumption is less than what you have estimated you will receive the money back after 12 months. In case it exceeds the estimate, you will receive an additional invoice requesting an additional payment (Nachzahlung).

Things to keep in mind before finalising a provider

  • The first point to keep in mind is how the billing will be for the first year, as mentioned earlier your first bill will be based on your estimated usage until the time of switching. Which means you bill can either be more or less than the estimation. After the first year, the new bill will be adjusted according to the usage.
  • Make sure you choose the instalments according to you convenience as it is easier to pay it on a monthly or quarterly base than a lumpsum amount in the end.
  • If are sharing a flat with someone, then make sure the person signed up for the contract is the main tenant. In case of a short-term rental or sublet, those costs are included in the Nebenkosten, under which circumstance you do not require a contract of your own.
  • Choose providers that use completely renewable energy, as mentioned earlier they often tend to provide better services with better prices.

DO YOU HAVE MORE QUESTIONS?

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We want to be transparent with you. This article contains affiliate links, which means that when you click on them, we may receive a small bonus. Rest assured, this will not affect the price for you. Instead, it enables our dedicated Vanakkam Germany Team to continue delivering valuable content and improving our services. Your support is greatly appreciated as we strive to serve you better.

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