Persian Gulf Blockade Sends Gas Prices Soaring in Germany
A global supply shock is causing energy costs to skyrocket in Germany, with gas prices rising by as much as 70% due to a blockade in the Persian Gulf. The de facto closure of the Strait of Hormuz has paralyzed global commodity markets, affecting an estimated quarter to a third of global oil shipments and around a fifth of global liquefied natural gas trade.
The European Commission estimates that gas prices have risen by around 70% and oil prices by about 50%, incurring additional costs of €13 billion for fossil fuel imports alone. For private households in Germany, this translates to an increase in the cheapest gas offers for new customers from around eight to ten cents per kilowatt-hour since March 2026.
The wholesale price for natural gas is currently around 66 euros per megawatt-hour, and German natural gas storage facilities are alarmingly empty for this time of year. As of August 11, 2026, the fill level was only 48.72%, around 16 percentage points less than on the same date the previous year.
The Federal Network Agency has urged calm, but energy market experts warn that consumers should act quickly to secure their energy bills by switching tariffs or signing new contracts. Existing customers are protected from price increases for now, but experts predict that prices will rise within a few months once procurement contracts expire.