Germany, Belgium, and Ireland had some of the highest household electricity prices worldwide, as of June 2024. At the time, German households were charged around 0.39 U.S. dollars per kilowatt-hour, while in Belgium, the price stood at 0.37 U.S. dollars per kilowatt-hour. By comparison, in Qatar, residents paid more than 10 times less. What is behind electricity prices? Electricity prices vary widely across the world and sometimes even within a country itself, depending on factors like infrastructure, geography, and politically determined taxes and levies. For example, in Denmark, Belgium, and Sweden, taxes constitute a significant portion of residential end-user electricity prices. Reliance on fossil fuel imports Meanwhile, thanks to their great crude oil and natural gas production output, countries like Iran, Qatar, and Russia enjoy some of the cheapest electricity prices in the world. Here, the average household pays less than 0.1 U.S. dollars per kilowatt-hour. In contrast, countries heavily reliant on fossil fuel imports for electricity generation are more vulnerable to market price fluctuations. The top importers of natural gas in Europe in 2023 were Germany and Italy, where this energy source constitutes a relevant share of the power mix.

In 2023, the United Kingdom had the highest industry electricity price worldwide, reaching 25.46 pence per kilowatt-hour. By comparison, the Norway had the lowest price among the listed countries, at 5.31 pence per kilowatt-hour.

In March 2024, industrial electricity prices in the European countries of Poland, Italy, and the United Kingdom were among the highest in the world, at over 0.40 U.S. dollars per kilowatt-hour. Singapore was the Asian country with the highest electricity bill worldwide at that time. Lowest electricity prices in the world The average retail electricity price in the United States was considerably lower than in most of Europe. Iceland was the European country with one of the lowest electricity bills for enterprises that month. At the bottom of the ranking were also Russia, Iraq, Qatar, Argentina, and Libya. In these countries, commercial electricity prices amounted to less than 0.1 U.S. dollars per kilowatt-hour. Household electricity prices In addition, European countries had the highest household electricity prices worldwide that month, with Italy at the top of the ranking. By comparison, Iran and Ethiopia had the lowest residential electricity prices in the world.

The Energy Price Forecast dataset provides monthly updates to Platts Analytics' latest outlook, in addition to historical cases that enable users to easily compare how outlook has evolved over time.

Wholesale electricity prices in the European Union (EU) increased in 2024 after recovering from the global energy crisis in 2023. This was the result of a myriad of factors, including increased demand in the “post-pandemic” economic recovery, a rise in natural gas and coal prices, and a decline in renewable power generation due to low wind speeds and drought. Nuclear power's critical role In 2023, nuclear and wind were among the leading sources of electricity generation in the EU, accounting for more than one-third of the output. Nuclear energy continues to play a crucial role in the European Union's electricity mix, generating approximately 619 terawatt-hours in 2023, which accounted for about 20 percent of the region's power production. However, the future of nuclear power in Europe is uncertain, with some countries like Germany phasing out their nuclear plants while others maintain their reliance on this energy source. The varied approaches to nuclear power across EU member states contribute to the differences in electricity prices and supply stability throughout the region.

Renewable energy's growing impact As Europe strives to decarbonize its energy sector, renewable sources are gaining prominence. Wind power in Europe, in particular, has seen significant growth, with installed capacity in Europe reaching 257.1 gigawatt hours in 2023. This expansion of renewable energy infrastructure is gradually reshaping the electricity market, potentially leading to more stable prices in the long term. However, the intermittent nature of some renewable sources, such as wind and solar, can still contribute to price fluctuations, especially during periods of low output.

Household electricity prices vary greatly across the world. In 2023, the price of electricity was below 0.1 U.S. dollars per kilowatt-hour in countries which rely on nationally produced fossil fuels for electricity generation, while it exceeded 0.4 U.S. dollars per kilowatt-hour where the power sector is dependent on energy imports. The European countries of Italy and Germany saw their residential electricity prices surpass 0.55 U.S. dollars per kilowatt-hour during the 2022 energy crisis.

United States EIA Forecast: Electricity Price: Retail: Residential Sector data was reported at 13.027 0.01 USD/kWh in Dec 2019. This records a decrease from the previous number of 13.488 0.01 USD/kWh for Nov 2019. United States EIA Forecast: Electricity Price: Retail: Residential Sector data is updated monthly, averaging 13.050 0.01 USD/kWh from Mar 2016 (Median) to Dec 2019, with 46 observations. The data reached an all-time high of 13.716 0.01 USD/kWh in Sep 2019 and a record low of 12.002 0.01 USD/kWh in Jan 2017. United States EIA Forecast: Electricity Price: Retail: Residential Sector data remains active status in CEIC and is reported by Energy Information Administration. The data is categorized under Global Database’s USA – Table US.P003: Energy Price: Forecast: Energy Information Administration.

The average wholesale electricity price in Norway stood at 28.32 euros per megawatt-hour in October 2024. The country's electricity prices reached a record high in August 2022, at 246 euros per megawatt-hour, the result of the global energy crisis and a drought that hit the country that summer.

According to Cognitive Market Research, the global Electricity Generation market size will be USD 2154.2 million in 2024. It will expand at a compound annual growth rate (CAGR) of 9.80% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 861.68 million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.0% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 646.26 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 495.47 million in 2024 and will grow at a compound annual growth rate (CAGR) of 11.8% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 107.71 million in 2024 and will grow at a compound annual growth rate (CAGR) of 9.2% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 43.08 million in 2024 and will grow at a compound annual growth rate (CAGR) of 9.5% from 2024 to 2031.
Thermal Generation is the market leader in the Electricity Generation industry

Market Dynamics of Electricity Generation Market

Key Drivers for Electricity Generation Market

Rising need for cooling boosts the electricity generation market

The increased demand for cooling is projected to drive the electricity generating market in the future years. Cooling is the process of lowering the temperature of an object or environment, which is usually accomplished by transporting heat away from the intended location, typically utilizing air or a cooling medium. Power generation can be utilized to cool by running air conditioning (AC) and fans to keep indoor temperatures comfortable. For instance, According to the International Energy Agency, an autonomous intergovernmental body located in France, in July 2023, more than 90% of households in the United States and Japan had an air conditioner. Cooling accounts for around 10% of global electricity use. In warmer countries, this might result in a more than 50% increase in power demand during the summer months. As a result, increased demand for cooling is likely to drive expansion in the power generating industry.

Increasing applications of electricity in the transportation industry

The growing use of energy in the transportation industry is predicted to increase demand for electricity, hence pushing the power generation market. The electrification of railways in underdeveloped and developing countries, the establishment of public transportation networks such as rapid metro transit systems, and the growing use of electric vehicles in developed countries will all create significant market opportunities for power generation companies. For instance, in order to achieve net-zero carbon emissions, the Office of Rail and Road (ORR) predicts that 13,000 track kilometers - or roughly 450 km per year - of track in the UK will need to be electrified by 2050, with 179 km electrified between 2020 and 2021. According to the Edison Electric Institute (EEl), yearly electric car sales in the United States are estimated to exceed 1.2 million by 2025. Electric vehicles are projected to account for 9% of worldwide electricity demand by 2050.

Restraint Factor for the Electricity Generation Market

High initial capital investment for renewable projects

The high initial capital for renewable projects is indeed a limiting factor for the market growth of the electricity generation sector, as most such technologies, infrastructure, and installation depend on significant up-front funding. For instance, most renewable energy technologies are highly capital intensive-solar, and wind, in particular, scares investors away from taking action, especially if they are small or developing firms. There is thus an economic limitation that restricts competition and contributes toward slower development of cleaner energy solutions. Moreover, funding can be quite tricky and challenging-especially for a poor economic climate. The payback times attached to these investment options are long, leading to uncertainty and making stakeholders reluctant to commit. These financial constraints are, therefore, blighting the transition to renewable energy as well as, more broadly, the overall electricity generation market

Impact of Covid-19 on the E...

Sweden Electricity Price: TP: NH: Between 20-499 MWh data was reported at 73.680 SEK/kWh in Jun 2024. This records an increase from the previous number of 71.880 SEK/kWh for Dec 2023. Sweden Electricity Price: TP: NH: Between 20-499 MWh data is updated semiannually, averaging 43.135 SEK/kWh from Dec 2014 (Median) to Jun 2024, with 20 observations. The data reached an all-time high of 147.520 SEK/kWh in Dec 2022 and a record low of 31.820 SEK/kWh in Dec 2015. Sweden Electricity Price: TP: NH: Between 20-499 MWh data remains active status in CEIC and is reported by Statistics Sweden. The data is categorized under Global Database’s Sweden – Table SE.P002: Electricity Price.

This table contains consumer prices for electricity and gas. Weighted average monthly prices are published broken down into transport rate, delivery rates and taxes, both including and excluding VAT. These prices are published on a monthly basis. The prices presented in this table were used to compile the CPI up to May 2023. Prices for newly offered contracts were collected. Contract types that are no longer offered, but have been in previous reporting periods, are imputed. The average can therefore diverge from the prices paid for energy contracts by Dutch households.

Data available from January 2018 up to May 2023.

Status of the figures: The figures are definitive.

Changes as of 17 July 2023: This table will no longer be updated. Due to a change in the underlying data and accompanying method for calculcating average energy prices, a new table was created. See paragraph 3.

Changes as of 13 February: Average delivery rates are not shown in this table from January 2023 up to May 2023. With the introduction of the price cap, the average energy rates (delivery rates) of fixed and variable energy contracts together remained useful for calculating a development for the CPI. However, as a pricelevel, they are less useful. Average energy prices from January 2023 up to May 2023 are published in a customized table. In this publication, only data concerning new variable contracts are taken into account

When will new figures be published? Does not apply.

Avg Consumer Price: Electricity Supply: CF: City of Moscow data was reported at 669.720 RUB/100 kWh in Dec 2024. This stayed constant from the previous number of 669.720 RUB/100 kWh for Nov 2024. Avg Consumer Price: Electricity Supply: CF: City of Moscow data is updated monthly, averaging 469.700 RUB/100 kWh from Jan 2009 (Median) to Dec 2024, with 192 observations. The data reached an all-time high of 669.720 RUB/100 kWh in Dec 2024 and a record low of 248.800 RUB/100 kWh in Dec 2009. Avg Consumer Price: Electricity Supply: CF: City of Moscow data remains active status in CEIC and is reported by Federal State Statistics Service. The data is categorized under Russia Premium Database’s Energy Sector – Table RU.RBL007: Average Consumer Price: by Region: Electricity Supply.

Austria Energy Prices: Gross: Annual Avg: Hard Coal: Power Plants data was reported at 255.850 EUR/Ton in 2022. This records an increase from the previous number of 128.330 EUR/Ton for 2021. Austria Energy Prices: Gross: Annual Avg: Hard Coal: Power Plants data is updated yearly, averaging 85.608 EUR/Ton from Dec 2003 (Median) to 2022, with 20 observations. The data reached an all-time high of 255.850 EUR/Ton in 2022 and a record low of 57.058 EUR/Ton in 2003. Austria Energy Prices: Gross: Annual Avg: Hard Coal: Power Plants data remains active status in CEIC and is reported by Statistics Austria. The data is categorized under Global Database’s Austria – Table AT.P001: Energy Prices: Annual Average.

Taiwan Energy Price Index: Power data was reported at 139.306 2001=100 in 2008. This records an increase from the previous number of 106.358 2001=100 for 2007. Taiwan Energy Price Index: Power data is updated yearly, averaging 104.624 2001=100 from Dec 1971 (Median) to 2008, with 38 observations. The data reached an all-time high of 139.306 2001=100 in 2008 and a record low of 20.942 2001=100 in 1971. Taiwan Energy Price Index: Power data remains active status in CEIC and is reported by Bureau of Energy, Ministry of Economic Affairs. The data is categorized under Global Database’s Taiwan – Table TW.RB010: Energy Price Index: 2001=100.

Have timely access to reliable Electricity price assessments in China:

• Electricity, industrial sector, Tianjin, including generation, transmission, and distribution costs, plus taxes
• Electricity, household, China, average for main cities

Each assessment includes Electricity price history for the past 10 years, current prices, and short-term forecasts. Price assessments are updated on the 3rd business day of every month and are accessible via online charts, an Excel Add-In, and an API. Free previews for all assessments are available at Intratec website.

Electricity price assessments for China and up to 32 other countries are part of Intratec Energy Price References. Subscribe and access now current prices of key energy commodities worldwide.

Middle Eastern and African countries had the cheapest electricity prices worldwide in December 2023. Namely, the electricity price for Iran's households was only 0.2 U.S. cents per kilowatt-hour of electricity. Ethiopia, Syria, Cuba, and Sudan also had some of the lowest electricity prices worldwide that month.

Power Generation Market size was valued at around USD 1651.06 Billion in 2024 and is projected to reach USD 2189.3 Billion by 2031, growing at a CAGR of 3.59% from 2024 to 2031.

Power Generation Market Drivers

Energy Demand Growth: Increasing global population and industrial activities drive the demand for energy. Economic development, particularly in emerging markets, leads to higher energy consumption.

Fuel Prices: The cost of fuel, such as coal, natural gas, and oil, significantly affects the economics of power generation. Fluctuations in fuel prices can influence the choice of power generation technology.

Investment and Financing: Availability of capital and investment for building new power plants and upgrading existing infrastructure is crucial. Economic incentives, subsidies, and the cost of capital can drive or hinder investment in power generation.

PL: Electricity Price: NC: HC: Between 2500 & 4999 KwH: excl Taxes & Levies data was reported at 0.460 PLN/kWh in Jun 2024. This records a decrease from the previous number of 0.519 PLN/kWh for Dec 2023. PL: Electricity Price: NC: HC: Between 2500 & 4999 KwH: excl Taxes & Levies data is updated semiannually, averaging 0.425 PLN/kWh from Dec 2007 (Median) to Jun 2024, with 34 observations. The data reached an all-time high of 0.519 PLN/kWh in Dec 2023 and a record low of 0.337 PLN/kWh in Jun 2008. PL: Electricity Price: NC: HC: Between 2500 & 4999 KwH: excl Taxes & Levies data remains active status in CEIC and is reported by Eurostat. The data is categorized under Global Database’s Poland – Table PL.Eurostat: Electricity Price: Household Consumers.

SE: Electricity Price: NH: Total kWh: excl VAT & Other Recoverable Taxes & Levies data was reported at 0.088 EUR/kWh in Jun 2024. This records an increase from the previous number of 0.084 EUR/kWh for Dec 2023. SE: Electricity Price: NH: Total kWh: excl VAT & Other Recoverable Taxes & Levies data is updated semiannually, averaging 0.088 EUR/kWh from Jun 2020 (Median) to Jun 2024, with 9 observations. The data reached an all-time high of 0.144 EUR/kWh in Dec 2022 and a record low of 0.052 EUR/kWh in Jun 2020. SE: Electricity Price: NH: Total kWh: excl VAT & Other Recoverable Taxes & Levies data remains active status in CEIC and is reported by Eurostat. The data is categorized under Global Database’s Sweden – Table SE.Eurostat: Electricity Price: Non-Household Consumers.

NO: Electricity Price: NH: Less Than 20 MwH: excl VAT & Other Recoverable Taxes & Levies data was reported at 0.111 EUR/MWh in Jun 2024. This records an increase from the previous number of 0.099 EUR/MWh for Dec 2023. NO: Electricity Price: NH: Less Than 20 MwH: excl VAT & Other Recoverable Taxes & Levies data is updated semiannually, averaging 0.092 EUR/MWh from Dec 2007 (Median) to Jun 2024, with 34 observations. The data reached an all-time high of 0.198 EUR/MWh in Dec 2022 and a record low of 0.058 EUR/MWh in Dec 2020. NO: Electricity Price: NH: Less Than 20 MwH: excl VAT & Other Recoverable Taxes & Levies data remains active status in CEIC and is reported by Eurostat. The data is categorized under Global Database’s Norway – Table NO.Eurostat: Electricity Price: Non-Household Consumers.