I do not see how the average increase in 3.5 % results in people not being able to pay their bill.
For example, if your bill was $100 and is now $103.50, there must be some other mitigating factor causing the you to not be able to pay it.
4.5 Million people receive "Hartz IV" which is about 400€ / month - prices and usage of course vary greatly, but I've seen published averages of between 80 & 100 € / month ...