2024 is proving to be full of surprises for the gas market in Italy. Gradually, in fact, the cost of the raw material it started to go downreaching 23-24 euros per megawatt hour in March: a significantly lower price compared to maximum voltage peaks (up to 340 euros).
The decline is attributable to several factors: the greater availability of gas supplied by Norway and the United Kingdom, the increase in energy production from renewable sources and the high gas stocks accumulated by European countries. Renewable energy production has also helped reduce dependence on natural gas.
Despite signs of price stabilization, however, June saw a increase in the cost of gasalso for the service of Greater protection. Gas bills for vulnerable home users rose more than 3% from the previous month. Based on the regulated price set by ARERA, the cost of raw gas material for customers in the Greater Protection service is today equal to €32.99/MWh.
The general increase, due to the increase in wholesale prices, translates into an additional expense of 34 euros on an annual basis for a typical user who consumes 1100 cubic meters of gas. In the next 12 months, the total expense for gas is expected to reach 1,140 euros, which are added to the 546 for electricity, generating a total expense of 1686 euros for average users.
According to Marco Vignola, vice president of the National Consumers Union, this increase was expected due to the increase in wholesale markets.
Despite the increase, protected prices remain more affordable compared to most of the offers currently present in the Free Marketas reported by the ARERA Offer Portal.
Gas tariff prices in June 2024
For vulnerable customers who are still in the Protected Market, the component of the gas price covering supply costs is updated as a monthly average of the price on the Italian wholesale market, unlike the price calculated on the Free Market, based on costs. wholesale market in Amsterdam.
The 2023 energy crisis has continued to influence the cost of gas, although the price of the raw material is currently falling compared to the peaks of 2022. Most of the tariffs available today on the Free Market are indexed and follow the trend of the wholesale market, making it crucial to know the PSV value to evaluate spending.
As of June 2024, the value of the PSV (Virtual Exchange Point) is €0.349/Smc. This value represents the monthly average of the previous month and is used by suppliers to define the price of gas for customers with indexed tariffs. The average value of the PSV for May 2024 will be determined in the first days of July, providing a clear indication of the actual cost of wholesale gas for each Smc.
Parameters to be evaluated when choosing the gas supplier
When it comes to selecting the best gas supplier, there are several key factors to consider. Here are some of the most important.
- Gas price: the cost of gas is often the determining factor in choosing a supplier. It is essential to compare the rates offered by the different providers, considering both the price per cubic meter (€/Smc) and any fixed monthly costs.
- Type of tariff: There are mainly two types of gas tariffs: fixed price and variable price. Fixed price tariffs guarantee a stable cost for a certain period, usually 12 or 24 months, while variable price tariffs can fluctuate based on market conditions.
- Contractual conditions: reading the contract conditions carefully is essential. Check the duration of the contract, the penalties for any early termination and the payment methods accepted by the supplier.
- Additional services: Some suppliers offer additional services that can be very useful, such as 24/7 customer support, the ability to manage your contract and payments online, and promotions for the combined use of gas and electricity.
- Transparency and clarity: It’s important to choose a provider who is clear and transparent in their communications, avoiding hidden costs and providing full details of fees and included services.
Compare and stay updated on gas rates
Staying constantly informed about gas rates can lead to numerous advantages. Here are some of the main ones.
- Economic saving: monitoring rates and offers allows you to identify significant savings opportunities. Rates can vary greatly between different providers and between different times of the year, so being up to date allows you to always choose the most convenient option.
- Adaptation to personal needs: Consumption needs may change over time. Having updated information on the different offers available allows you to choose the tariff plan that best meets your current needs, avoiding paying for unused services.
- Sustainability: the gas market is evolving towards more sustainable solutions. Some suppliers offer biocompatible natural gas or invest in emissions offsetting projects. Being informed about sustainable offers helps you make greener choices.
- Support in case of problems: being aware of the contractual conditions and policies of the various suppliers allows you to act quickly in the event of disservices or problems, choosing suppliers with a good reputation for customer service.
How to save by switching to another energy company
Switching to another gas supplier may seem like a complex procedure, but it can actually be very beneficial and, thanks to current regulations, it is also quite simple. In the telephone tariff market we are now used to changing operator to save money, obtain an improved quality service or take advantage of current promotions.
With the transition to Free Market we must enter into the perspective of being able to do the same, to save on electricity and gas bills, or even to obtain more favorable contractual conditions, or improve one’s user experience and so on.
The right of withdrawal for change of seller (so-calledswitching”) allows the customer to dissolve his contract in compliance with the notice indicated in the contract, without penalties or other expenses or interruption of supply. The switching must be completed in three weeks, with the activation date of the new supply indicated in the new contract.
From the Protected Market to the Free Gas Market
An important change is taking place in the energy sector: the end of the Protected Market. The offers of the Protected Market provide economic and contractual conditions established by the Regulatory Authority for Energy, Networks and the Environment (ARERA), without the possibility of customizing the conditions or providing additional services. In this market, the price offered to customers is a variable price, revised periodically according to market trends.
The gas Protection Service ended on 31 December 2023 and the Greater Electricity Protection Service will end on 30 June 2024. After these dates, only customers identified as vulnerable will be able to continue to be served under economic and contractual conditions defined and updated by the Authority, with the Vulnerability Protection Service.
Economic and contractual conditions similar to those of the PLACET offers were automatically applied starting from January 2024 to customers who were served in the Protected Gas Market, not identified as vulnerable and who had not activated a Free Market offer as of the above date. of natural gas at variable prices. For all customers it is always possible to choose a different offer in the Free Market.
Similarly, for electricity supplies, non-vulnerable customers supplied under Greater Protection, who as of 1 July have not activated a Free Market offer, will automatically be served under the Gradual Protection Service (TSG) , provided by territorially identified suppliers under contractual and economic conditions which will be defined by ARERA also on the basis of the outcomes of specific competition procedures. Vulnerable customers will instead be able to continue to be supplied in the Greater Protection Service. Also in this case, customers can choose a different offer in the Free Market at any time.
Let’s see them now best gas offers of June 2024divided into categories, so that everyone can individually evaluate the solution best suited to their needs.
