Cost of Electricity by Country 2023

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1. Denmark

In Denmark, the cost of electricity is the highest in the world. For one kilowatt-hour, Denmark pays about $0.36. Several factors, including infrastructure, geography, and taxes, make up the bulk of this price. Denmark, in particular, has some of the highest tax rates on electricity. About half of the electricity price in Denmark is attributed to an additional tax.

2. Germany

Not far behind Denmark, Germany has the second-highest electricity cost globally. The average German pays $0.35 per kilowatt-hour. Like Denmark, about half of this rate can be attributed to high taxes on electricity production. Germany saw a spike in the cost for electricity prices following 2012. After the Fukushima nuclear disaster in Japan, Germany closed many nuclear reactors, creating a much greater demand for electricity from traditional sources. Before 2012, electricity prices in Germany were more closely aligned with the costs of electricity in the United States.

3. Belgium

Belgium is third on the list of the most expensive electricity costs globally. This country charges about $0.32 for every kilowatt-hour of electricity consumed. While a good portion of this cost is related to taxes, Belgium's location makes it reliant on neighboring countries for much of its electricity production.

4. United Kingdom

The UK pays on average $0.28 per kilowatt-hour of electricity consumed. Although not nearly as expensive as Denmark or Germany, the UK's high prices can largely be attributed to their location. Heavy reliance on traditional fossil fuels for electricity production can also make the cost of electricity prone to extreme fluctuations as the market for oil changes over time.

5. Venezuela

Not too far behind the United Kingdom, Venezuela charges about $0.27 per kilowatt-hour of electricity. Compared to other South American countries, Venezuela is by far the most expensive when it comes to electrical costs.

6. Spain

Spanish citizens can expect to pay about $0.26 per kilowatt-hour of electricity. Denmark and Germany aside, this cost is much higher than other European countries. Much of the high cost of electricity is due to this country's reliance on other neighboring countries for electrical power.

7. Ireland

Tied with Spain, Ireland's electrical costs are about $0.26 per kilowatt-hour. Similar to the United Kingdom's cost of $0.28 per kilowatt-hour, this country has some of the highest-priced electricity in Europe.

8. Rwanda

Rwanda has the most expensive electricity cost in Africa, costing Rwandan citizens about $0.25 per kilowatt-hour. While this cost is undoubtedly cheaper than several European countries, this is still very high priced compared to the United States or oil-producing countries like Iran or Saudi Arabia.

Cost of Electricity by Country 2023

Cost of Electricity by Country 2023