Dynamic electricity prices available for individual customers
Trading companies dealing with sale of electricity to individual customerswhich PAP contacted, will post offers with dynamic prices on their websites on Saturday. A necessary condition for using such an offer is to have a remote reading meter (VOC), i.e. a so-called smart meter. According to the Energy Law, distribution network operators are obliged to gradually install such meters at their customers. At the end of 2023, all large distributors exceeded the statutory intermediate target – VOC at 15 percent of customers. In 2025, this number is to reach 35 percent.
Standard vendor tariffs or price lists they contain fixed energy prices. The price in the dynamic offer changes with changes in the spot market of electricity, determined at specific intervals. The settlement with the customer will consist of the price of energy on the spot market increased by the costs of certificates of origin, energy efficiency certificates, transaction costs, seller’s margin, trade fee, taxes – excise duty and VAT.
Terms of Use of the Dynamic Energy Pricing Offer
Company PGE Turnover – the electricity seller from the largest Polish energy group PGE – informed PAP that on Saturday it will make an offer with a dynamic price available to household customers. To use it, the customer – in addition to having a VOC – should be a final recipient of electricity, i.e. use the energy exclusively for their own use in the household, or be a customer with prosumer status – reminded PGE Obrót. The settlement period is one month.
IN Tauron Sales choosing an offer with dynamic prices involves the necessity of concluding an agreement with dynamic prices, but without the necessity of changing the tariff. The customer can remain on the current tariff group and at the same time be billed according to dynamic prices. The customer’s consent to the transfer – by the Distribution System Operator to the seller – of profile data regarding energy consumption is also necessary – the company reminded. The settlement will take place every month.
Variety of vendor approaches to dynamic pricing
Also E.ON Poland will present an offer in which the price of energy on the spot market will be calculated based on the average price of electricity in a given settlement period, calculated based on stock exchange quotations, weighted by the volume of the customer’s actual consumption in individual delivery periods of 15 or 60 minutes. Settlement with the customer will take place on a monthly basis.
Sellers emphasize that offers with dynamic prices They will be primarily intended for consumers who are ready to actively manage their energy consumption.
Benefits and Requirements of Dynamic Pricing Contracts
Those who are ready to change their daily habits, actively monitor the energy market and adjust consumption to changing prices – explains PGE Obrót. Switching to a dynamic price contract may also be beneficial for customers with intelligent systems such as smart home or energy storage. This will enable optimal use of energy or its storage at a time when energy is attractively priced, regardless of whether we are currently in our place of residence or not – the company emphasizes.
The price variability that characterizes this offer can be both a benefit and a risk, and the effective use of dynamic prices depends solely on the actions taken by the customer and their involvement in energy management – PGE Obrót reserves.
Efficient energy management is key to benefiting from dynamic pricing
The dynamic price contract and the related billing method require the client’s activity, therefore it is suitable for people who want and are able to plan energy consumption during the day in conditions of price volatility on the so-called Day Ahead Market – adds Tauron Sprzedaż.
According to E.ON Polska, dynamic price contracts have a chance to become popular in the future, especially among customers from high awareness of the functioning of the electricity marketready to take the risk of price fluctuations and willing to change behavior and adjust energy consumption depending on the current market price.
The future popularity of dynamic pricing contracts
It will definitely help with this automation and popularization of intelligent solutionswhich will allow you to manage your home or business consumption. However, this takes time, as evidenced by the development of dynamic price contracts in other European markets – the seller emphasizes. (PAP)
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