Analysis: Prague residents have the most expensive heat in Czechia, paying thousands of crowns more a year

Prague residents pay the most for heat from district heating plants, paying thousands of crowns more on average each year than people in other regions. The lowest average prices, by contrast, are in the Pardubice Region. The number of households connected to district heating has been growing in recent years, with every second new apartment being connected to a heating plant. This is according to an analysis of data by the Czechia in Data project. Almost 40 percent of households use district heating.

According to the analysis, consumer heat prices vary considerably across Czechia. Based on estimates by the Energy Regulatory Office (ERÚ), the highest average prices in 2024 will be in Prague, at 1223 crowns per gigajoule (GJ). The lowest prices, by contrast, are expected in the Pardubice Region (875 crowns per GJ) and the South Bohemian Region (893 crowns per GJ). The average annual heat consumption of a household in an apartment for heating and hot water is around 25 GJ. The difference in costs over a full year can therefore amount to thousands of crowns.

A wide range of factors accounts for the price differences. „They are due to the differing operating conditions of heat sources, the scope, size, age and technological design of heating equipment, the use of a wide range of fuels, and the wear and efficiency of the sources,“ said ERÚ spokesperson Jan Hamrník.

The combination of factors can therefore result in different prices not only between individual cities, but also between housing estates within a city or between neighbouring buildings heated by boiler plants serving several buildings or by individual building boiler rooms. „Heat price trends also vary among suppliers, as more than 650 entities hold a licence to produce or sell heat,“ noted Pavel Kaufmann, spokesperson for the Association for District Heating of the Czech Republic.

Next year, a large share of households will probably pay more for district heat. According to the association, coal-fired heating plants will raise prices by three to ten percent, increasing heating and hot water bills by an average of several dozen crowns a month in most cases. Gas-fired heating plants, by contrast, will cut prices by up to a tenth. Even so, heat from coal will remain cheaper. Heating plants using biomass will see a significant price increase.

Use of district heating in Czechia is gradually increasing. According to data from the Czech Statistical Office (ČSÚ), more than 46 percent of the over 105,000 new apartments built between 2014 and 2023 were connected to heating plants. Apartment buildings also commonly use alternative heating sources, such as gas boilers or heat pumps.

According to the association, the entire district heating sector faces major changes in the future, particularly in connection with the decarbonisation process. Some plants are already switching to gas, and the use of renewable energy sources is also increasing. „Over the past four years, for example, 12 heating plants that supply heat to more than 125,000 households and other customers have stopped producing heat from coal. By the end of 2030, coal’s current half share of district heat production is expected to fall significantly, to just a few percent,“ Kaufmann added.

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