Fear not! Setting up your electricity in Germany is actually super easy (once you’ve tackled the whole “it being in German” thing). Whether you’re a new resident or just looking to switch providers, I’m going to help you navigate the process smoothly and avoid some super-common pitfalls.
EXPAT TIP: You don’t have to “tackle the German thing” if you go with an English electricity provider like Ostrom (this is my provider and also an affiliate of ours, so if you do choose to go with Ostrom, you can use my code JENNYX2DRW for a 70€ store credit or 35€ towards your first electricity bill. 😉
How Do I Set Up Electricity Service in Germany?
Setting up electricity service in Germany is one of the first things you’ll need to do when moving into your new home. Here’s a step-by-step guide to help you get started:
- Find Out Who the Current Provider Is: When you move into a new flat, check with the previous tenant or landlord to find out which electricity provider was used. Make sure to confirm that the previous tenant has notified their provider of their departure to avoid being charged for their usage.
- Choose a New Provider: You can either stick with the current provider or choose a new one. In Germany, you’re not tied to the existing provider and have the freedom to select one that suits your needs better. Providers, like Ostrom, offer online sign-up processes in English, making it easier for expats.
- Register Your Electricity Usage: Once you’ve chosen a provider, you’ll need to register your electricity usage with them. This usually involves providing your address, the date you moved in, and the reading from your electricity meter (more on this below).
- Provide Meter Reading: Take a photo of your electricity meter on the day you move in and note down the reading so you only pay for the electricity you use and not for any leftover usage from the previous tenant. ⚠️
- Sign the Contract: After registering, you’ll receive a contract from your provider. Make sure to read the terms carefully, especially the duration and cancellation policies.
Tip: If you’re moving into a new flat, make sure to arrange your electricity service before or as soon as you move in to avoid any disruption in the power supply.
Who Are the Main Electricity Providers in Germany?
Germany has a competitive electricity market with many providers offering various packages. Some of the main electricity providers include:
- Ostrom: A modern, customer-friendly provider offering services in English. Ostrom also offers an online storefront with energy-saving devices like smart plugs, smart meters, and even solar panels.
- ePrimo: A green (eco) choice, offering competitive rates.
- Yello: Offers competitive, flexible electricity plans across Germany.
- Sparstrom: Offers affordable electricity plans with a focus on cost savings and flexible contracts across Germany.
- E Wie Einfach: Simplifies energy management with transparent pricing throughout Germany.
- E.ON: One of Germany’s largest utility companies, known for its wide range of electricity and gas products.
- RWE: Another major player, particularly strong in the western part of Germany.
- Vattenfall: A popular choice in Berlin and other major cities, offering both conventional and renewable energy options.
- EnBW: Focused on the southern regions of Germany, EnBW offers competitive rates and green energy plans.
Each of these providers offers different rates and packages, so it’s essential to compare them based on your usage, budget, and preference for renewable energy.
TIP: Germany is big into solar panels! You can also check out companies like Renogy or the Ostrom shop which provide renewable solar energy solutions nationwide. We’ve purchased solar panels and it was the best decision we could have made! There are also balcony solar panels that you can easily attach and remove when you want to relocate.
How Much Does Electricity Cost in Germany?
Unfortunately, electricity prices in Germany are pretty high compared to other countries in Northern Europe, but they can vary depending on your provider, location, and the type of contract you choose. On average:
- Cost per kWh: Prices typically range from €0.28 to €0.35 per kilowatt-hour (kWh).
- Monthly Costs: For an average household (2-3 people), you can expect to pay around €70 to €120 per month.
What Types of Electricity Contracts Are Available?
In Germany, there are several types of electricity contracts to choose from:
- Fixed-Rate Contracts: These contracts lock in your electricity price for a set period, usually 12 or 24 months. This protects you from price increases during the contract term.
- Variable-Rate Contracts: The price per kWh can fluctuate based on market conditions. These contracts are often more flexible, allowing for shorter cancellation periods. Like Ostrom, for example.
- Green Energy Contracts: Many providers with both fixed-rate and variable-rate contracts offer green energy options where electricity is sourced from renewable resources like wind or solar.
Tip: If you’re unsure how long you’ll stay in your current flat, consider a variable-rate/short-term contract for more flexibility.
How Do I Switch Electricity Providers in Germany?
Switching electricity providers in Germany is relatively straightforward:
- Compare Offers: Use comparison websites like Check24 to find the best deals based on your usage and location.
- Notify Your Current Provider: If you’re switching providers, notify your current provider. This is usually done automatically by your new provider, but it’s good to double-check.
- Provide Your Meter Reading: On the day your new contract starts, provide a current meter reading to both your old and new providers to ensure accurate billing.
- Sign the New Contract: Once you’ve selected your new provider, sign the contract, and they’ll handle the rest.
Pro Tip: Be wary of long-term contracts that auto-renew. Always mark your calendar to review your contract before the renewal date.
What Documents Do I Need to Set Up Electricity Service?
To set up electricity service in Germany, you will typically need the following:
- Personal Identification: A copy of your passport or ID.
- Address Details: The exact address of your new home, including the apartment number if applicable.
- Move-In Date: The date you officially move into your new home.
- Bank Details: A German bank account for direct debit payments.
Tip: If you’re an expat, having a bank account in Germany is often required to set up utilities. Consider opening an account with a bank that offers services in English, like N26 or Wise.
Are There Green or Renewable Energy Options Available?
Germany is a leader in renewable energy, and many electricity providers offer green energy plans:
- Ostrom: Offers 100% green energy sourced from renewable resources. You can find more about their green energy options here.
- E.ON: Provides green energy plans that source electricity from wind, solar, and hydroelectric power.
- Naturstrom: Specializes in green energy and is certified by environmental organizations.
TIP: Some providers offer discounts or incentives for choosing green energy, such as lower rates or bonuses for energy-efficient households. In Germany, there is also an “Energiewende” initiative happening which aims to shift the country towards more sustainable energy sources. That means in the future, this might also significantly influence the types of energy contracts available.
What Should I Do If I Have Problems with My Electricity Supply?
If you are having issues with your electricity supply, here are the steps you should take:
- Check Your Circuit Breaker: Sometimes, a tripped circuit breaker is the cause of the outage. Check your fuse box to see if a switch has flipped.
- Contact Your Provider: If the issue is not with your circuit breaker, contact your electricity provider. Most providers have 24/7 hotlines for emergencies.
- Document the Issue: Keep a record of the outage, including dates and times, especially if it becomes a recurring problem.
Tip: If you receive a bill that seems unusually high, contact your provider to request a detailed breakdown. Sometimes errors occur, and it’s essential to catch them early.
How Is Electricity Billed in Germany?
Electricity in Germany is typically billed on a monthly or quarterly basis, with the following key points:
- Estimated Usage: Initially, you’ll pay based on estimated usage (⚠️ this is important to understand as in many other countries you’re paying for what you’ve used at the end of every month). After a year, your actual usage will be calculated, and you’ll either receive a refund or be asked to pay the difference.
- Meter Reading: It’s essential to submit accurate meter readings regularly to avoid discrepancies. Many providers offer online portals where you can submit your readings. In apps like Ostrom you can not only track your usage in real-time via their app, but also increase or decrease your monthly payment based on how much electricity you’re really using.
Is Setting up Electricity in Germany Different for Businesses?
Not entirely, but in regards to taxes, households, and businesses will pay standard electricity taxes, including the EEG-Umlage (Renewable Energy Surcharge) and VAT (19%). Businesses in some industries may qualify for tax reductions or exemptions under specific conditions, especially if they consume large amounts of energy or are part of energy-intensive industries. There are special arrangements for reducing the EEG-Umlage for businesses that meet certain energy efficiency criteria.
Larger businesses, particularly those with significant energy consumption, may also be required to conduct energy audits under the Energy Efficiency Act (Energiedienstleistungsgesetz, EDL-G). There are also financial incentives and government grants for companies that implement energy-saving measures or switch to renewable energy sources.
What Is the Typical Contract Duration for Electricity?
Electricity contracts in Germany usually range from 12 to 24 months, but there are also flexible month-to-month options (like mine):
- Long-Term Contracts: Often come with lower rates but can be challenging to cancel early.
- Short-Term or Flexible Contracts: These are ideal for expats or those who may not stay in one place for long.
Cancellation Tip: Always review your contract for specific cancellation terms. Most providers require a notice period of 1 to 3 months.
How Do I Reduce My Electricity Usage and Costs?
Here are some practical tips for reducing your electricity usage and lowering your bills:
- Energy-Efficient Appliances: Invest in appliances with high energy efficiency ratings (A+++).
- Smart Plugs and Meters: Use smart plugs to monitor and control your electricity usage remotely. Ostrom’s online store offers a range of smart energy-saving devices.
- Unplug Devices: Unplug electronics when they’re not in use to avoid standby power consumption.
Green Tip: If you are a homeowner, Consider installing solar panels. Ostrom offers options for integrating solar energy into your home (even if it’s just a small balcony solar panel).
Can I Set Up Electricity Service Before I Arrive in Germany?
Yes, it is possible to arrange electricity service before you arrive in Germany:
- Online Sign-Up: Many providers allow you to sign up online and manage everything digitally.
- Timing: Make sure to arrange the service to start on your move-in date to avoid any gaps in the power supply.
How Not to Get Screwed Over by Electricity Providers
To avoid any issues with electricity providers in Germany:
- ⚠️ Beware of Door-to-Door Sales: Occasionally, representatives may come to your door offering “better deals.” Consider verifying their identity and compare offers before agreeing to anything.
- ⚠️ Check Your Contract Details: Look for any hidden fees, auto-renewal clauses, or penalties for early cancellation.
- ⚠️ Photograph Your Meter: Remember to take a photo of your meter when you move in to avoid being charged for the previous tenant’s usage.
Lastly: Choose a reputable provider and follow these tips so you can have a smooth and fair experience with your electricity service in Germany. If you have any questions, don’t forget, I’m always here and you can also join us in the Welcome Program if you would prefer a more detailed walkthrough of how to set up your electricity in Germany (and much more). 🙂