Free or protected, changes in the electricity market. What are the characteristics of the two contractual forms? Let’s find out all the details.
For many families and consumers, a fateful moment is approaching: that of end of the protected electricity market which follows the change that has already occurred for gas. From the July 1st those who still enjoy the services of the protected market will have to switch to the free one, indicating the user’s supplier. A delicate passage that is certainly involving and worrying all the families dealing with this news.
The differences between the two contractual forms are notable and have a series of important implications which should not be underestimated. But how do you know whether the current supply belongs to one form or the other? Before answering this question it is appropriate to give some general indications on the nature of the two types of contracts.
Free or protected market, the differences
The protected market it is a form of electricity supply used by families who must purchase the service according to the tariff established by ARERA (Regulatory Authority for Electricity and the Network) with costs calculated on the basis of those of the raw materials on the market. This regime will end at the end of June and on paper should lead to a liberalization of offers with competition between supplier companies.
The biggest difference between the protected and free systems is determined by the way in which prices are established. In the protected market the prices are decided by ARERA and do not vary between different electricity suppliers. In the case of free market the prices are defined by the meeting of supply and demand. In the free market the customer should have the possibility to choose the most convenient offer and trigger a principle of competition between suppliers.
In the protected market the price is established with respect to the moment in the market and there are no unpleasant surprises. While in the free market Antitrust and ARERA must guarantee the transparency and fairness of competition. but how do you know which of the two regimes you belong to? The method is very simple: just observe one copy of the bill.
In the top of the documentunder the supplier’s logo, the membership regime. Another obvious element is the color of the bill: if the invoice is coloured you are taking advantage of a contract in the free market, while if the bill results in black and white, yes in the protected market, i.e. in the national electricity service. You can also obtain this data by checking the name of your supplier. Just call customer service or visit the company’s official website.
