Goodbye protected market for electricity from tomorrow, July 1st: what changes

Goodbye protected market for electricity from tomorrow, July 1st: what changes
Goodbye protected market for electricity from tomorrow, July 1st: what changes

Goodbye to protected market for electricity starting tomorrow, Monday 1 July. Arera recalls that ”to accompany the transition to the free market of non-vulnerable domestic customers of electricity, the Authority has foreseen a gradual path to give everyone the possibility to choose the offer on the free market that best suits their needs, while ensuring continuity of supply and adequate information obligations for sellers”.

Protection services are electricity and natural gas supply services with economic (price) and contractual conditions defined by the Authority and intended for domestic customers who have not yet chosen a free market offer.

From July 1st only free market, what happens

The legislation has provided for the end of the protection services, with the free market which in most cases will remain the only supply method. From September 2023 to June 2024, in at least two bills, non-vulnerable domestic customers who are still in the enhanced protection service received a communication from their enhanced protection operator in which the possibility of choosing an offer of free market, also using the tools made available by the Authority, such as the offers portal.

If the end customer does not sign a free market offerstarting from July 2024, the supply will automatically switch, without any interruption, to the gradual protection service (stg); in this service the contractual and economic conditions will be defined by Arera also on the basis of the outcomes of insolvency proceedings.

Vulnerable customers, no obligation to switch to the free market

Vulnerable electricity customers are domestic customers who, alternatively: are in economically disadvantaged conditions (for example, bonus recipients); have serious health conditions that require the use of medical-therapeutic equipment powered by electricity (or where there are people in such conditions); are disabled pursuant to Article 3 of Law 104/92; have a user account in an emergency housing facility following catastrophic events; have a user account on a non-interconnected minor island; are over 75 years of age.

Vulnerable domestic customers supplied in the greater protection service will continue to be served, even after 1 July 2024, in the greater protection service. The customer served in greater protection who has not been identified as vulnerable, even if respecting the vulnerability criteria, must communicate this to his/her seller by filling out the form that he/she will also receive from his/her greater protection operator in two communications between September 2023 and June 2024, so as to continue to be served in the greater protection service.

If changes in the vulnerability condition occur, the supply holder must contact his/her vendor. Even the vulnerable customer can choose an offer from the free market at any time, with the methods and timing provided by the vendor within the selected offer and in compliance with regulatory obligations. It is possible to choose a contract from the free electricity and gas market at any time.

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