As early as 2013, household consumers have been entitled to choose their electricity supplier. The maintenance of regulated prices and other series of measures have discouraged a massive migration of domestic consumers to the free market. This transfer will be carried out automatically, from 1 January 2021, by the abolition of the regulated prices.
Consumers still have the option of signing a supply contract with one of the 60 companies active in the competitive retail market. Those who fail to do so will still be supplied with electricity, based on prices set in the universal service market. The calculations presented in the press show that in this situation, the prices for energy as a commodity are 15% to 30% higher than those on the regulated market. As its share in the final energy bill accounts for about 30% of the total, non-action by household consumers can lead to an increase in bills of 5% to 15%. Thus, the difference to be paid monthly in February 2021 for a monthly bill of about 90 lei will be around 15 lei.
To avoid such situation, consumers still on the regulated market are urged to sign new supply contracts. Although higher than regulated, prices in the competitive market fall within a very wide range – 80%! The lowest prices may even be very close to today’s prices; in addition, some suppliers come with discounts, including depending on the duration of the contract.
The improved price comparator of the National Energy regulatory Authority (ANRE) allows for an advanced analysis of options and is a useful tool in navigating among suppliers’ offers. As with any contracts, all terms and conditions had to be carefully read to select the supplier that best matches the needs of each customer.
As much of the 6 million domestic consumers still on the regulated market are unaware of liberalization and have not practiced the necessary information, comparison and decision-making skills, ANRE decided to extend until the end of January 2021 the deadline by which household customers have to choose the supply offer applicable from January 1, 2021. Suppliers of last resort are also obliged to transmit to households together with the universal service offer at least one competitive offer, during December 2020 and January 2021. At the same time, for January 2021, irrespective of the date when the contract on the competitive market is signed, the price of the energy consumed, as read, will be that “resulting from the application, during the same period, of the competitive offer on the basis of which the competitive contract was concluded”.
Switching a household customer from the supplier of last resort to another supplier does not entail any additional costs. The process of switching suppliers is simple and free of charge, requires no technical changes, and charging any fees or charges related to this process is prohibited, ANRE specifies. All household customers have the right to change their electricity supplier at any time, subject to the contractual conditions, within 21 days of the request.