should you take a locked price offer with future price increases?

Fixed offers are being offered again by energy suppliers after having completely disappeared from the market during the crisis. While prices are expected to rise in the coming months, these guaranteed prices prevent sudden increases in the bill. Should we be tempted?

Don’t be jealous, for gas as for electricity, prices will rise in the coming months. First, the 2024 State budget confirms the end of the tariff shield. Then, it is noted that electricity regulation prices will increase in February 2024 by around 10% then, again, in August of the same year for 23 million customers.

For its part, the benchmark price of gas continues to rise month after month. Like a reference rent, this rate helps consumers choose their supplier since the end of the regulated gas rate in July. And its increase should be even greater in November, as winter approaches. Mechanically, households heating with gas will see their bills rise further since suppliers adjust their prices according to changes in the benchmark price.

In this context, 9 out of 10 consumers declare that energy consumption is a subject of concern for them, according to the annual barometer of the national energy ombudsman and 8 out of 10 households declare to have restricted their heating during the winter to avoid not have too high bills. Two figures up but that’s not all.

Abnormal to receive after several months a regularization with prices multiplied by 2, 3, 4 or 5

One in three households also fear not being able to honor their bills when the number of disputes for massive and unexpected price increases are denounced by consumers. The rise in energy prices has put already financially fragile households in difficulty. He is totally abnormal to receive after several months a regularization invoice with prices which may have been multiplied by 2, 3, 4 or 5or even more, without having been alerted in good time, warns Olivier Challan Belval, the national energy mediator.

Supplier commitment and consumer freedom

To protect against untimely price variations, some households may wonder about locked price offers for electricity and gas. Indeed, they are increasingly offered by suppliers after having completely disappeared at the heart of the energy crisis. Subscribing to a fixed price market offer allows you to set your gas budget at a relatively moderate level. And therefore not to suffer a possible further increase next winter, explains Julien Tedd, co-founder of the broker Opera Energie, interviewed by MoneyVox in a previous article.

With these contracts, the price per kilowatt hour is fixed for 12, 24, 36 or 48 months. Furthermore, this commitment is only binding on the supplier since the customer can, for his part, terminate his contract free of charge and immediately if he finds something better elsewhere.

1 in 6 offers is fixed in electricity

As for electricity, a customer at the EDF regulated rate, consuming 2400 kWh per year, currently pays 734 euros per year. A typical peak/off-peak customer who consumes 8,500 kWh per year is billed 173 euros per month, or 2075 euros per year.

Samuel AUFFRAY

Samuel AUFFRAY

After studying political science in Paris 2 and journalism at the CFJ, Samuel Auffray worked for L’Obs in the field of… Read more

Follow Samuel

MoneyVox / SA / October 2023


source site-96