ᐅ Should we stick with the standard supply or lock in a fixed price for the winter period?
Created on: 1 Aug 2022 17:35
H
HausbauBW12
Hi everyone,
I need your opinion on the following topic:
Our contract with GAS.de was terminated earlier this year, and we were switched to ENBW's temporary supply tariff for about 30 days. We have now been on ENBW’s standard supply tariff (basic rate) in Stuttgart for several months.
I have been comparing prices for months, and strangely, this standard supply tariff with a 14-day cancellation notice is still the cheapest:
Monthly basic fee: €9 (about $9.50)
Price per kWh: €0.11 (about 11 cents)
Of course, ENBW can cancel the contract daily and raise prices, which in my opinion leads to several options:
1.) Stay put and only switch if ENBW becomes more expensive.
2.) Switch now and accept paying double the basic fee and price per kWh.
I realize this is a bit of a guess, but option 1 still seems the smartest to me because until winter, I barely need any gas except for water heating. Also, it doesn’t really make sense to sign a contract now that locks me in for a year, especially if gas prices might not skyrocket after all.
There is also the risk with option 2 that the provider might go out of business and I never get reimbursed for any overpayment since I’m paying an advance based on estimated annual consumption. Or would it be smarter in option 2 to declare a much lower consumption and then pay the difference later? Because the fixed price also applies to these additional payments, right?
Do you understand what I mean? I’m having a bit of trouble expressing this clearly…
I need your opinion on the following topic:
Our contract with GAS.de was terminated earlier this year, and we were switched to ENBW's temporary supply tariff for about 30 days. We have now been on ENBW’s standard supply tariff (basic rate) in Stuttgart for several months.
I have been comparing prices for months, and strangely, this standard supply tariff with a 14-day cancellation notice is still the cheapest:
Monthly basic fee: €9 (about $9.50)
Price per kWh: €0.11 (about 11 cents)
Of course, ENBW can cancel the contract daily and raise prices, which in my opinion leads to several options:
1.) Stay put and only switch if ENBW becomes more expensive.
2.) Switch now and accept paying double the basic fee and price per kWh.
I realize this is a bit of a guess, but option 1 still seems the smartest to me because until winter, I barely need any gas except for water heating. Also, it doesn’t really make sense to sign a contract now that locks me in for a year, especially if gas prices might not skyrocket after all.
There is also the risk with option 2 that the provider might go out of business and I never get reimbursed for any overpayment since I’m paying an advance based on estimated annual consumption. Or would it be smarter in option 2 to declare a much lower consumption and then pay the difference later? Because the fixed price also applies to these additional payments, right?
Do you understand what I mean? I’m having a bit of trouble expressing this clearly…
W
WilderSueden2 Aug 2022 00:07SumsumBiene schrieb:
I thought you were only allowed to stay in the default supply for three months? We also have an expensive tariff with a major provider and pay 16 cents. I signed up for 24 months right away because at that time it was still somewhat cheaper. Backup supply is limited to 3 months. From there, you can switch to the default supply at any time. Alternatively, you can sign a contract if you find someone offering a better price.
H
HausbauBW122 Aug 2022 11:12Knautnaundorf schrieb:
You can stay in the basic supply indefinitely—that’s what it’s for. The local provider is required to accept you and basically has an obligation to supply you, just like with electricity.
The question is at what price.
Currently, the basic supply rates happen to be the cheapest, so it might be worth trying to get into that. Basic providers will probably be the last to raise prices because they serve many socially disadvantaged customers.
Unfortunately, it seems that about 90 percent of the population hasn’t really understood what’s coming. Most are currently more focused on vacation and assume that the current gas price will only have a surcharge of 1.5 cents and that’s it.
With the bailout of Uniper, Pandora’s box has been opened. Gas suppliers can now pass the very high market prices to end customers, even with long-term supply contracts. These contracts are now basically worthless.According to what you’re saying, this would also mean that all contracts that are fixed-price as of today will likely be terminated with price increases, or the service providers will go out of business. For example, Gas.de or BEV Energie, which are not able to pass on fixed-price contracts.
Hmm, we’re back to the point that the option of basic supply might currently be the smartest choice because high advance payments that I might then not get refunded are very likely.
H
HausbauBW122 Aug 2022 11:15WilderSueden schrieb:
Stay there. I assume that fixed contract prices will only play a minor role this winter anyway. Starting in October, there is already a surcharge of 2-5 cents, and it is quite likely that the price cap will also be lifted due to shortages. So, a contract commitment will probably be of little use to you.
PS: Incorrectly reported meter readings are, as far as I know, punishable by law I didn’t mean incorrectly reported meter readings, but simply reporting lower consumption figures and then having to pay the difference later.
Example: You consume 18,000 kWh per year but only report 10,000 kWh to reduce the monthly installments, then pay the difference later if you actually consume more (which you already know anyway). This way, you avoid the risk of not getting the already paid installments refunded if the supplier goes bankrupt during a price increase.
This happened with BEV. Many customers paid installments for energy they didn’t actually use, but never saw their money again.
W
WilderSueden2 Aug 2022 13:15I would try to find a provider who is unlikely to go out of business quickly. The problem with deliberately low estimates is that providers use them both for planning and also have to advance the money themselves. This works well if only a few underestimate, but if many deviate significantly in the same direction...
WilderSueden schrieb:
If possible, I would look for a supplier who is reliable and won’t suddenly go out of business. The problem with deliberately low estimates is that the suppliers use them both for planning and also have to advance the money themselves. This works fine if only a few offer very low figures, but if many deviate significantly in the same direction... For the individual, however, it is a very good idea.