Changes to colorful electricity tariffs are on the table, with energy costs continuing to be a major concern for families.
Th. Skylakakis: The green tariff is not abolished, the obligation on suppliers to offer it to new consumers is abolished.
The Minister of Environment and Energy, Thodoris Skylakakis, stated today, Friday, that “the green tariff has not been abolished. It will continue to be offered to all those who chose it.” As he added, “what is being abolished is the obligation for providers to offer it, from 1/1/2025 to new customers”.
Speaking to a radio station, the minister said that providers will not be legally obliged to offer the green tariff from the beginning of the new year, because European legislation does not allow, in perpetuity, price obligations. Even so, he estimated that most will keep it for young consumers as well, as it is an extremely popular product. “From the beginning, when this obligation was legislated, it was for one year. The law was transitional,” he said characteristically.
He explained that consumers who are already on the green tariff remain on it, until they decide, for any reason, to change the type or provider of the tariff.
The 2 main long-term pricing methods
Speaking about the Ministry of Environment and Energy’s long-term planning in relation to tariffs, he highlighted: “In the long term we will have two main pricing methods. THE dynamic invoice (orange)which will begin in the next period of the business mainly because these have – basically – smart meters. This is very important because they can reduce the cost of electricity. Additional, we will encourage – in the long term – also fixed tariffsas is done in the rest of Europe, so that those who have little consumption and no time are not forced to follow the “ups and downs” of the market”.
Regarding the need that led to the establishment of the green tariff, he said: “The green tariff was established so that we could know the prices. Have an invoice based on which we can compare prices. This worked! We know the prices. This knowledge of the price is our profit. Even if the consumer remains on the green tariff, providers will be obliged to announce prices and the consumer will be able to make a comparison. The issue with price transparency is profit. It will continue. So we will continue to have – as we learned – these four types of existing invoices (green, blue, yellow and orange). However, the number of consumers using each will gradually change as the energy transition progresses.”
“The government will subsidize excessive increases”
Speaking about the First ERT Program on electricity tariffs, government spokesman Pavlos Marinakis recommended patience and referred to official announcements to be made by the competent Ministry of Environment and Energy.
“I recommend that you wait and that we all wait, because there is confusing information,” Marinakis noted and added: “Let’s see, then, whether the tariffs were successful or failed? What does this depend on? It depends on the prices we have had in the – so far – nine months since they were implemented. I remember that they were implemented from 01/01/2024. With the exception of August, where the Government was obliged and did very well, as it did throughout the crisis and in electricity and supported consumers in excessive increases. So, with the exception of August, in all the other months we had prices in all tariffs, mainly in the two most popular ones, the ‘green’ and the fixed one, the ‘blue’, which in any case did not change, so it is a fact that they were lower, lower than during the crisis period, that is, pre-crisis prices, in short. With some ups and downs in the ‘green’.
“Always, however, the main supplier – to say nothing more – has had prices all these months lower than when the tariff started” continued Mr. Marinakis and highlighted that “so, the project of colored tariffs, based on the criteria main thing, which is the prices that reach the consumer, was successful”.
Regarding the changes that are underway, he said: “What is the Government trying to do now? Adapt to new data and see how this can be applied even better to citizens starting next year. Example: Maybe we should – I’m saying this hypothetically, so I don’t get it wrong – we should encourage people more on the flat rate. Why do we encourage people to make fares “green”? Turns out it was because competition drove prices down. However, if providers are able to attribute even lower prices to the ‘blue’ tariff, that is, the fixed tariff, perhaps it would be better, so that citizens do not have to go through this process every month, just to let it go.”
The government representative reiterated that we must await official announcements from the Ministry of Environment and Energy. “And I’m saying something that the world knows now, because we gave more than 10 billion for this and it is also something that was our duty, but it was done to a greater extent than any other European country: if there is a month that due to wholesale prices – which is a very big effort made by the Prime Minister abroad, but we don’t have time to analyze – there are excessive prices, when this happens, you can be sure that the Government will subsidize these increases, and they will not be enough for the consumers.”
The “battle” of electricity tariffs
On Tuesday, speaking on the Nautemporikis channel, energy inspector Michalis Christodoulidis said that the Ministry of Environment and Energy has made it clear that the scenarios of all consumers being transferred to blue tariffs are not valid. Asked whether, as the electricity price situation is today, we are in favor of a stable and blue tariff, he said that “I am stable and a fan of blue. Just yesterday there were providers who gave a 6-month fixed bill in 9.5 minutes.”
“I think it’s a good option to set a fixed rate for 6 months at 9.5 minutes and we’ve been seeing it since March. I estimate that it will not fall below 9-9.5 cents in green tariffs, but will remain high. I see this price reaching 11-12 minutes maximum. However, it will not fall below 9-9.5, at least in the next period”, he stressed.
The “battle” of electricity tariffs – The most efficient and economical forms of heating