Electricity Prices Expected to Rise in the Fall
As we enter the fall season, consumers can expect their power bills to increase with some additional charges being included. This comes after a brief period of relief in August due to state subsidies that helped stabilize prices temporarily.
Typically, wholesale electricity prices start to decrease in September as demand decreases, leading to lower retail prices. However, this year, wholesale prices are predicted to follow this trend, unless any unexpected events occur. Retail prices, on the other hand, may not see a decrease due to the accumulation of more than 1 billion euros in electricity market shortfalls, which have been pushed to the fall.
The shortfall in the Special Account for Utility Services (ELYKO) is estimated to be over €600 million, while the deficit in the Special Account for Renewable Energy Sources (ELAPE) is over €400 million. These deficits will eventually be paid by consumers, leading to potentially higher electricity bills in the near future.
Regulated Charges on Electricity Bills in Greece
In Greece, consumers are required to pay a regulated charge on their electricity bills. This charge covers the additional electricity production costs of the non-interconnected islands and the expenses associated with the social household tariff.
Another regulated charge on electricity bills in Greece is the ETMEAR, also known as the fee in favor of RES (Renewable Energy Sources). This fee is a key source of revenue for the ELAPE (Electricity Market Operator) and is used to compensate RES producers.
It is anticipated that plugging these financial gaps will lead to an increase in the levies imposed on electricity bills in Greece. Consumers should be prepared for potential changes in their electricity costs as a result of these regulatory adjustments.