Electricity prices are something that creeps up on us every single month. We may be able to switch our tariffs, but in the grand scheme of things, some places are just cheaper than others to buy electricity. This is the case for a number of reasons, chiefly due to the general cost of living and national GDP, and secondly due to the generation infrastructure in certain countries.
The true cost of electrification is often overlooked, as it can be difficult to quantify the environmental and social costs of the electricity generation infrastructure. These costs can be significant and can have far-reaching implications for both the environment and local communities. Yet, without electricity, economic growth in many countries could be severely hindered, underscoring the negative implications of electrification.
Given how important electricity has become for day to day functioning of each household and each infrastructure, on this page we’ll find out which are the cheapest countries to buy electricity in and what percentage of the average salary it represents.
For the purposes of equality throughout this article, all averages will be made based on the UK average electricity usage of 3,100 kWh. All figures provided by selectra.co.uk
#10 – Czech Republic: 380.06 p/y
Coming in at number 10 is Czech Republic, whose average electricity unit rate is around 12.26p. In accordance with the national average wage in this country, this is actually pretty cheap. There average person earns around 11,076 per year, which equates to around 3.43% of someone’s earnings. This is a modest figure; however, when considered alongside other bills such as gas, internet, water and TV, this rather low salary could be swallowed whole.
#9 – Poland: 356.50 p/y
One of Europe’s most exciting economies. With the modernisation of such cities as Krakow and Warsaw, many large financial institutions are setting up shop in Polska. The average wage in the Warsaw region is around 12,764.88, which is higher than Czech Republic, but less is taken from electricity bills. This means that electricity bills represent around 2.79% of the average Warsaw resident’s earnings.
#8 – Iceland: 350.61 p/y
Iceland, with a population smaller than that of Manchester, has the eighth cheapest electricity prices in Europe on average. Considering that the national average wage is also extremely high, this is great news for those living in Iceland. The average person makes around 27,265 per year after tax, which means that electricity bills represent a tiny 1.28% of net earnings.
#7 – Croatia: 350.61 p/y
The average electricity unit rate is actually identical to Iceland, which means that they are both joint number 8, really. However, the national average wage is much lower, which means a higher percentage of a Croats wage will go towards electricity. The average person in Croatia will earn around 8,782.80 per year (net), which out of the above countries, is the lowest yet. As such, this means that around 4% of net earnings will go towards electricity bills.
#6 – Romania: 337.28 p/y
Romania, home to the legend of Dracula, is the 6th cheapest place to get your electricity supply in Europe. But as the price for electricity lowers, so does the national average wage. The average person living in Romania will earn around 7,766.04, which is even lower than in Croatia. This means that electricity bills, on average, represent around 4.34%, which is extremely high when you consider that that’s only half of your energy bill.
#5 – Malta: 337.28 p/y
Malta lines up as joint number 6 with Romania, seeing the average unit rate work out at around 10.88p. Malta is an extremely small island and has a population of just 434,000, which means that average wages aren’t diluted as much as larger countries. That said, it is still rather modest with an average 14,459.65 per year. With this, we can see that electricity bills make up around 2.33% of earnings.
#4 – Lithuania: 328.22 p/y
The southernmost baltic state, Lithuania rolls in at number 4, with an average unit rate price of 10.62p per kWh. That said, however, Lithuania has the lowest national average wage yet, with a very humble 7,170.96 per year. As such, we can see that electricity bills, although rather cheap, still make up around 4.6% of earnings.
#3 – Estonia: 323.95 p/y
With a similar price to Lithuania, Estonia ranks in at number 3. Estonia has a similar principal to the UK in which it pays a minimum hourly wage, but it’s three times lower than that of the UK at 2.50. The average national wage, however, sits at around 12,346.44, which means that electricity bills represent around 2.62% of earnings.
#2 – Hungary: 296.98 p/y
The first country so far to dip below 10p per kWh and 300 for the yearly bill, Hungary ranks at number two for the cheapest electricity bills in Europe. This is extremely lucky for those living there, however, as the average national wage sits at just 6,894.60 per year. As such, electricity bills make up around 4.3% of earnings.
#1 – Bulgaria: 256.99 p/y
Bulgaria comes in at the number 1 spot for cheapest european energy, but also has the lowest average wage out of all of the ten listed above. The average person living in Bulgaria earns just 5,861.88 per year, which is 374% lower than the UK. As such, we can see that electricity bills, although the lowest in Europe, still represent around 4.38% of earnings.