A dual battle for market share between fuels and suppliers is evolving into vigorous market as companies use government subsidy policies to shape their commercial policies and expand their clientele.

In a competitive environment following the removal of the adjustment clause and the introduction of the electricity tariff announcement system that will come into effect next month, electricity suppliers are offering lower tariffs to new customers than to existing ones in order to attract customers. The government has also legislated the ability to switch suppliers without a “penalty” for early termination of the contract, which makes it easier for consumers to switch from one supplier to another.

The question that worries consumers in anticipation of the heating season – at least those who have the opportunity to change the source of heating – which option is more profitable: electricity (air conditioners or another device), natural gas or fuel oil.

Historically, data from the Natural Gas Hellenic Energy Company (obviously not reflecting the entire market, only the company’s own electricity and natural gas tariffs) show that prior to the energy crisis, natural gas was the most economical fuel to switch from late 2021 to a higher position than heating oil. The question of what is profitable for the period 2022-2023 depends on the prediction of price movements, which is especially impossible during this period.

However, the data currently available is as follows:

• Electricity tariffs for October, after a subsidy announced by the Ministry of Environment and Energy, start at 14-16 cents per kilowatt-hour for consumption up to 500 kWh per month. The government’s goal, as can be seen from the amount of subsidies applied in the last quarter, is to keep the final consumer price at 15 cents per kilowatt hour (instead of 60 cents, which could reach in October or even … 1 euro is will be September). It is clarified that the price does not include monopoly payments for networks and other fees.
• For natural gas, prices in floating tariffs are calculated based on the average international price for the previous month. Estimated price in September is about 20 cents per kilowatt-hour (excluding the subsidy from DEPA Emporias, which is 9 cents per kilowatt-hour in October, resulting in a final price of 11 cents/kWh). Also, network fees are not included.
• The current price of heating oil is 1.6 euros per litre, or 1.35 after deducting the 25 cent subsidy announced by the government. The cost at the beginning of the heating season, October 15, will be based on data on world prices and the exchange rates in force at that time. One liter of oil corresponds to 10.5 kilowatt-hours, so the price of fuel per kilowatt-hour after subsidization approaches 13 cents per kilowatt-hour.

^{Source: RES-IPE}