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    Home News from Spain The new electricity rates and time tables come into force on 1st...

    The new electricity rates and time tables come into force on 1st of June 2021

    Electricity rates have to be changed to adapt to European regulations, which establish that within the regulated part of the electricity bill, tolls and charges must be separated into:

    • Tolls, which are the responsibility of the National Markets and Competition Commission (CNMC) and are intended to cover the costs of the electricity transmission and distribution network.
    • Charges are at the responsibility of the Ministry for Ecological Transition and the Demographic Challenge, which have a fixed part (dependent on the contracted power) and a variable part (dependent on the energy consumed). They are intended to cover the rest of the components of the cost of energy, such as the retribution of renewables, the additional cost of generation in non-peninsular territories and annuities of the tariff deficit.

      These items are applicable to all consumers, regardless of whether they are in the free market or the regulated market.

      This adaptation to European requirements also aims to promote energy saving and efficiency, and self-consumption, reducing the FIXED PART of the bill with respect to the VARIABLE PART (which is the part that depends on electricity consumption). In this way, if a consumer changes his habits and lowers his consumption, he will be able to reduce his electricity bill to a greater extent.

    New time slots
    The domestic and SME tariff, known as 2.0TD (contracted power up to 15 kW), will have three consumption periods from Monday to Friday:

    • Peak hours (P1, most expensive tariff): from 10 am to 2 pm and from 6 pm to 10 pm.
    • Flat hours (P2, average tariff): from 8 am to 10 am, from 2 pm to 6 pm and from 10 pm to midnight.
    • Off-peak hours (P3, cheapest tariff): from 0 to 8 am.

    Weekends and national holidays: all hours are off-peak (P3, cheapest tariff).
    There is the possibility of contracting different power ratings:
    With the new electricity tariff, a household with a contracted power of 4.6 kW (remember that you can contract any power value) will go from paying approximately 250 euros per year (taxes included) to 150 euros/year.

    In addition, as a new feature, two power ratings can be contracted in the following time slots.

    • Peak: from 8 a.m. to midnight (working days).
    • Off-peak: from 0 to 8 a.m. and all hours of weekends and national holidays.

      Thus, for example, if more power is needed for certain uses (such as storage systems for heating) or to charge an electric car, it can be increased only at certain times of the day (between 0 and 8 a.m.), paying much less in that time slot.

    What could I save with the new bill?
    To achieve real savings on our electricity bill, the Andalusian Energy Agency recommends the following:

    Shifting our electricity consumption to off-peak hours: we can save around 150 euros a year simply by running the dishwasher, washing machine and electric water heater at off-peak times. You don’t have to get up in the early hours of the morning, you can connect the appliances to a programmer plug which costs very little (some types cost less than 5 euros).
    Introduce energy efficiency measures in our daily habits: by incorporating sustainability measures (such as more efficient windows with thermal breaks and special glass with solar protection, thermal insulation, energy-efficient equipment in household appliances or air conditioning, or LED lamps with very low energy consumption) we can save up to 250 euros per year. For example, by changing a 10-year-old refrigerator for a more efficient one, with the new electricity tariff we will achieve a saving of around 1,300 euros over the useful life of the equipment.
    Consider reducing the power we have contracted: If we change, for example, the power of our contract, dropping from 4.6 kW to 3.6 kW, the cost would decrease to around 120 euros per year (including taxes).

    What will the new electricity bill model look like?
    To reflect the splitting of the current access tolls and charges, the current electricity bill format needs to change.

    The Ministry for Ecological Transition and the Demographic Challenge must publish the Resolution approving the new electricity bill format for consumers under the Voluntary Price for Small Consumers (PVPC) and the minimum content of the bill for consumers with less than 15 kW of contracted power who are in the free market.

    Do consumers have to do anything?
    The change is automatic, they do not have to do anything to see the division of access tolls and charges, and the different hourly brackets reflected on their bill.

    Source: https://www.agenciaandaluzadelaenergia.es/es/ahorrate-energia/en-el-hogar/nuevas-tarifas-electricas-domesticos-y-pymes-hasta-15-kw

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