Status: 05.01.2023 1:03 p.m
Since this year, the unemployed have received the new citizens’ allowance instead of Hartz IV. According to an analysis by Check24, the standard rate provided for energy is not sufficient to pay the electricity bill.
According to calculations by the online portal Check24, the new citizen’s income does not cover the recipient’s electricity costs any more than Hartz IV did before. In the item for living and energy – without rent – the basic income standard rate for single people is extrapolated to almost 511 euros for one year. The average electricity costs for a one-person household with an annual consumption of 1500 kilowatt hours amounted to 641 euros despite the electricity price brake, the Munich company announced today.
“This means that the electricity costs are 25 percent higher than the flat rate,” is the conclusion of Check24. The calculation is based on the prices of the energy suppliers who sell electricity via the comparison portal.
Electricity prices keep rising
The social associations VdK and Paritätische share this assessment. “The amount estimated for the electricity costs is far too low,” commented VdK President Verena Bentele. “This has not changed fundamentally even with the adjustment of the rule sets.” The problem has even increased with the sharp rise in electricity prices.
The standard rate for a single adult has risen by EUR 53 to EUR 502 per month with the switch from Hartz IV to citizen’s income, which corresponds to an increase of almost twelve percent. In addition, the state covers “reasonable” costs for rent and heating. However, the electricity bill has to be paid from the standard rate – and this is currently higher than ever.
In December 2022, a model household with a consumption of 5000 kilowatt hours (kWh) paid an average of 2334 euros per year, according to Check24. This corresponds to an average price of 46.7 cents per kWh. For comparison: In the previous year, consumers paid 1704 euros and thus around 37 percent less. There is no end in sight to the increase: According to Check24, in January 2023 there were 668 cases of electricity price increases in the basic supply. Around 7.6 million households are affected. The average increases are 60.2 percent.
Job centers have “no leeway”
“The benefits, which are actually supposed to secure a decent subsistence level, are not enough to get through the month,” criticized Ulrich Schneider, general manager of the joint association. The skyrocketing electricity prices exacerbated the hardship for people who receive basic social security. “For single households, the costs were almost twice as high as what was officially granted,” said Schneider.
The job centers are responsible for the payment of the citizens’ allowance. “The rising heating and electricity costs are very challenging,” said a spokeswoman for the Federal Employment Agency in Nuremberg. Heating costs are regularly taken over by the job centers at an appropriate level. “It’s different with the electricity costs: Household electricity is part of the standard requirement, is determined by the legislature and adjusted annually. The job centers have no leeway to adjust the standard requirement.”
The Federal Agency therefore very much welcomes the fact that the standard rate has risen so significantly on January 1st. “Nevertheless, rising electricity costs can lead to financial burdens. If people get into financial difficulties, the job centers can at least approve a loan.”