Consumers can change their electricity supplier. Leave EDF and its regulated tariff, since the opening of the energy market to competition. But there is no hemorrhage: 80% of users are still EDF customers at regulated tariff or market offer, although there is now a plethora of suppliers in the electricity market, no less than 30. For those who wonder about the relevance of a passage of the regulated tariff at a price fixed by this or that supplier, here are all the elements to know and the points to check before subscribing an offer in market price. You can Read More about this easily now.
Understand the Different Rates
Before leaving the regulated tariff for a bid at market prices at an alternative electricity supplier or even at EDF, it is important to understand the differences between regulated tariff, market price, fixed price and indexed price.
The regulated tariff
The regulated tariff is set by the public authorities after the proposal of the Energy Regulatory Commission (CRE). This is EDF’s blue tariff. The electricity bill can change twice a year, in January, because of the amount of the CSPE (contribution to the electricity utility) and in August for the rate per kilowatt-hour.
Only the historical supplier, EDF, and the local distribution companies located here and there can market electricity at the regulated tariff. EDF holds the monopoly of the marketing of electricity at the regulated tariff on 95% of the territory, the local historical suppliers on the remaining 5%.
When electricity is not sold by EDF at the regulated tariff, it is marketed at market prices. Neither the CRE nor the State intervenes. The price is then freely fixed by each supplier. The market price can be fixed or indexed.
The supplier agrees on a price he has freely fixed and for a fixed period. It can be 1, 2 or 3 years old. During this period, the price per kilowatt-hour excluding taxes fixed for the subscription of the contract will not change, even if the regulated tariff increases several times.
The supplier indexes its market price on an index. This is usually the evolution of the regulated tariff. The price of the kilowatt-hour will then evolve exactly the same way as the regulated tariff, keeping the same difference. With regard to electricity, we are sure that the regulated tariff, and therefore the indexed price, is permanently oriented upwards.
Compare the tariffs of the suppliers of Gas and Electricity and choose the offer most adapted to your accommodation and your consumption.
EDF holds the monopoly of electricity at the regulated tariff, with some small historical suppliers located in certain areas. All other suppliers are called alternative: they market electricity only at market prices. There are many people in the electricity market.
How to Compare Offers?
The cuts proposed in market offers were less important on electricity than on gas until the cheaper energy inverted auctions reverse the market with a price from kWh HT to -23%. Obviously, we do not get discounts of this magnitude with the offers of the suppliers, but the competition becomes more intense.