Energy provider Budget Energie will offer energy rates below the government’s price cap. This makes the company, in its own words, the first company to offer cheaper electricity and gas for new customers.
Budget Energie says it can make the reduction possible because energy is purchased on a monthly basis. Recently, energy prices have fallen significantly, now they are so low that the price is at the “pre-war” level. As a result, the price also fell well below the government ceiling.
Lower rates are immediately available for new Budget Energie customers. Customers who are already contracted with the company will have to wait until March for cheaper energy. Budget Energie recommends purchasing energy for these customers a little earlier. Additionally, customers must be notified thirty days in advance of a fare change.
Saving the government billions
Gas and electricity prices have been falling for some time. If the energy becomes cheaper than the maximum price set by the government, it will save the government a lot of money. The price cap could potentially cost billions of euros. The government has promised to refund the difference between the market price and the maximum price if energy prices exceed the maximum price. The government hopes this will protect consumers from high energy costs.
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
