Environment and Energy Minister Skylakakis announces measures to protect electricity consumers

Environment and Energy Minister Thodoros Skylakakis on Thursday announced a series of measures regulating the electricity market that aim to protect retail customers after the horizontal subsidies framework stops on January 1, 2024. The minister said that a uniform tariff will be established, in addition to a heating subsidy for vulnerable consumers that use electricity to heat their homes and a special tariff for households with four-plus children, along with measures to counter electricity thefts and discourage strategic bad payers.

The new, uniform electricity tariff will be set at the start of each month on the basis of a mathematical formula decided by ministerial decree, along with the profit margin set by each supplier. The rate will change every month, at which time bills will be corrected upward or downward based on the change in previous prices and other factors included in the formula. The price will be final, with any discounts included in the tariff announced by each supplier.

All consumers will be automatically switched to the new uniform tariff except those with fixed-tariff contracts and those who specifically choose a different tariff, selecting one of the alternative products offered by suppliers. Skylakakis said that all consumers can switch to the uniform tariff, as the change in suppliers will continue to be penalty-free. “The fundamental weakness at present is that it is very difficult for consumers to decide which is the cheapest supplier. We are obliged to protect consumers,” Skylakakis explained.