{"id":40,"date":"2024-12-04T12:35:16","date_gmt":"2024-12-04T11:35:16","guid":{"rendered":"https:\/\/smartnest.be\/?p=40"},"modified":"2024-12-31T10:24:34","modified_gmt":"2024-12-31T09:24:34","slug":"understanding-the-price-of-electricity","status":"publish","type":"post","link":"https:\/\/smartnest.be\/index.php\/2024\/12\/04\/understanding-the-price-of-electricity\/","title":{"rendered":"Understanding the price of electricity"},"content":{"rendered":"\n

The way electricity is sold in Brussels is made of multiple layers of services, taxes and excises which we\u2019ll try to clarify here.<\/p>\n\n\n\n

Here is a table with a few of the offers available in Brussels in December 2024<\/p>\n\n\n\n

<\/th>Fixed cost<\/th>Electricity<\/th>Green energy<\/th><\/th><\/th><\/th><\/th><\/th><\/th><\/th><\/th><\/th><\/th><\/th><\/tr><\/thead>
Engie Flow<\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/tr>
<\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/tr>
<\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/tr>
<\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/tr>
<\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Provider specific prices<\/h2>\n\n\n\n

Fixed cost<\/h3>\n\n\n\n

This is a yearly\/monthly fixed cost that you will need to pay regardless of your consumption. <\/p>\n\n\n\n

Electricity price<\/h3>\n\n\n\n
\n

Typically around 0.15 – 0.20\u20ac per kWh<\/p>\n<\/blockquote>\n\n\n\n

The main part (but not the biggest) is the price of the actual electricity. It differs per provider and you have multiple types of contract : fixed price, variable prices, peak\/off-peak, \u2026<\/p>\n\n\n\n

That\u2019s usually the number that is written in big bold letters by your electricity provider but it\u2019s far from the actual price you will pay. <\/p>\n\n\n\n

For variable rates, there is a formula in each contract which depends on the market prices and can be seen on Epexspot. <\/p>\n\n\n\n

Injection prices<\/h3>\n\n\n\n
\n

Typically between 0.02\u20ac and 0.15\u20ac per kWh<\/p>\n<\/blockquote>\n\n\n\n

If you have solar panels, this will be the price you get for the kWh you are not using. Those are not taxed in any way for individuals. <\/p>\n\n\n\n

Green energy costs<\/h3>\n\n\n\n
\n

Typically around 0.02 – 0.03\u20ac per kWh<\/p>\n<\/blockquote>\n\n\n\n

Not to be confused with the \u00ab tax on renewable energy \u00bb or the \u00ab optional green energy \u00bb <\/p>\n\n\n\n

There is a charge for providing green energy. This is to compensate for the \u00ab Certificats Vert \/ Groenstroomcertificaten \u00bb that a provider that doesn\u2019t have 100% green electricity need to buy. <\/p>\n\n\n\n

Note that this would not exist for Energy Sharing as they only sell you excess capacity from solar panels of your neighbours. <\/p>\n\n\n\n

Option for green energy<\/h3>\n\n\n\n
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Typically around 0.01\u20ac per kWh<\/p>\n<\/blockquote>\n\n\n\n

Some contracts will make you pay extra to make sure all your energy is low carbon (but not renewable). <\/p>\n\n\n\n

I personally think it\u2019s a bit of a scam because the provider will typically not change their overall energy mix so it doesn\u2019t make much of a difference. Nuclear energy is included as green energy which not everyone might agree with. <\/p>\n\n\n\n

Distribution and Transportation costs<\/h2>\n\n\n\n

Next to the electricity itself you have to pay Sibelga (in Brussels) for the transportation of the electrons. This is the same regardless of your provider. The details for the years 2025 to 2027<\/a> can be found on their website.<\/p>\n\n\n\n

Fixed costs (Sibelga)<\/h3>\n\n\n\n