Electricity market

Bills, the end of increased protection: towards annual savings of 110 euro with graduated protection

Arera President Stefano Besseghini. "We will make an assessment by the end of May in order to be able to give initial indications to sellers. On the table is the proposal to raise the component covering marketing costs to 39 euro".

6' min read

6' min read

By the end of May there will be more details on what the economic conditions of the graduated protection service will be. Charting the course, with an eye on the bills of the 3.9 million non-vulnerable customers still in greater protection and who, in the absence of an explicit choice of a free market offer, will be automatically transferred to the transitional mechanism as of 1 July, is Arera chairman Stefano Besseghini, in this interview with Il Sole 24 Ore.com. "We will make an assessment at the end of May in order to be able to give initial indications to sellers and we will see whether the different auction zones have experienced different dynamics in terms of entry or exit from the protection service".

The economic conditions of the new service

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Besseghini recalls that the economic conditions of the Stg provide for two price components in addition to the regulated components that are the same for all offers. "A first part to cover energy supply costs and which will be derived from the average wholesale price of the previous month (the so-called Pun ex post) and another (the so-called gamma parameter) aimed at covering the so-called marketing costs and defined on the basis of the offers formulated by the operators. This value, deriving from a weighted average on the number of customers in protection in the different areas, will depend precisely on the situation that will be recorded in the month of June, but can be estimated today at around negative 73 euros, the result of the fierce competition that has characterised the auctions.

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Savings of 110 euro per year in the transitional mechanism

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Since the analogous component of customers in protection is now worth about EUR 58, Besseghini continues, 'it is easy to estimate that between the customer in protection and the customer in gradual protection there will be a saving of about EUR 130. In fact, even this value should be taken with attention because, as already announced, in these very days we have put out for consultation the revision of this parameter in light of the changed conditions that will characterise the protection service, which will continue to play its role on a transitional basis for vulnerable customers only. The proposal,' specifies Besseghini, 'is to bring this value to 39 euro, so that the differential with Stg would be in the region of 110 euro'.

In the bill shortly the names of the providers of graduated protection

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In short, the mosaic of the new service is beginning to take shape. "From now until June, we will include in the bill the indication of the new provider of gradual protection, so as to allow customers to familiarise themselves with the operator who will take over, having won the reference area at auction," continues Besseghini, who also returns to the dynamics linked to the return to greater protection, which is still possible until the end of June and on which the president himself has been heard several times in Parliament in the wake of alleged delays by the operators of protection in facilitating the return to the service of customers already served on the free market. To make this process even easier, on Arera's website there is a simple service where, by entering your municipality, you can find the operator to whom you can send your request and how to do it.

Arera's moral suasion

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"Arera carries out a constant activity of moral suasion, and on this issue we first intervened with a recommendation addressed to operators to ensure that they provide clear information and the fastest possible time for those requesting to return to greater protection. Then, in the past few weeks," continued Arera's number one, "we have made a further communication to make it even more explicit that the return to greater protection can be requested until 30 June and that the date of receipt of the customer's request through the channels, including telephone or telematic channels, indicated by the operator of greater protection is authentic. A request which, it is worth remembering, must be forwarded to the operator of the greater protection service in the municipality where the supply is located. To make this process even easier, on the Arera website there is a simple service in which, by entering your municipality, you can find the operator to whom you can send the request and how to do it.

Bollette luce verso la fine della maggior tutela: ecco cosa cambierà

The chapter of the vulnerable

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As for the vulnerable - the over 75s, social bonus recipients due to economic or physical hardship, users on minor islands that are not interconnected or who live in emergency housing facilities, and also those who benefit from Law 104 for disabilities - who are in greater protection (3.6 million out of a total of 11.4 million), nothing changes for them, they will continue to be served under protection conditions. However, Besseghini is keen to return to the issue of the price differential with respect to the graduated protection service, which is currently cheaper than the conditions applied to the vulnerable. "That of the vulnerable is a perimeter world that will enjoy a service indefinite in time," the Arera chairman clarifies, "with a price that is efficient in transferring the value of energy to the wholesale market even if it is not subsidised. On the contrary, the Stg is in fact a temporary service (it will last until 2027) that transfers the customer to a free market operator albeit with a gradual mechanism (hence the name). The first service by its nature and because of the different outcome for the operator can never express a price lower than the investment that the operators wanted to make by participating in the Stg'.

For the auction vulnerability service in the first quarter of 2025

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In the future, then, as is well known, there will also be a transition to a new mechanism for the vulnerable, the vulnerability service, and here too, as in the case of the SGP, there will be an auction to define who will manage the new regime: 'It will probably be held in the first quarter of 2025,' continues Besseghini, 'and it is a timeframe that will allow the gradual protection set-up to settle in the meantime so that operators can make all the necessary assessments upstream of their possible participation in this new competitive procedure.

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The best defence for consumers: a few clear concepts

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Some pieces, therefore, will come into place in the coming months. And consumer associations continue to call for more transparency and more information from operators so that users are able to make an informed choice. On this Besseghini has a very precise idea: 'The best defence for people is to have a few clear concepts in our heads that we must be able to make more and more obvious. The first is that you don't have a particular obligation or deadline that could create unpleasant situations: basically, if you stay where you are, something counterproductive is unlikely to happen. The second is that in fact today the only consumers who have to consider what to do within a deadline are the non-vulnerable consumers who are on the free market'.

The need for step-by-step communication

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For Besseghini, communication should also proceed in steps, first of all by talking to the consumer and allowing them to recognise themselves in a profile. "If you try to understand the problem as a whole, you struggle to understand what concerns you. The best way is to first clarify what kind of customer you are, non-vulnerable or vulnerable, and then to understand what market you are in, greater protection or free. Once these two variables have been identified, the path is certainly easier. After all, there are four categories of consumers (for the electricity market),' clarifies the chairman of Arera. The consumer in vulnerable protection, who is not called upon to do anything will continue to be served (de facto) by the protection service, the consumer in non-vulnerable protection will switch to the gradual protection service and, given the lack at this stage of more convenient offers than protection, certainly has the advantage of remaining in protection, the consumer in the vulnerable free market, if satisfied with his current supplier, may do nothing in the knowledge that at any time after 1 July he will be able to switch back to the protection/vulnerability service; the consumer in the non-vulnerable free market may similarly remain with his current supplier if satisfied, but must be aware that he will only be able to switch back to the protection service (and thus switch to the Stg) until 1 July. After that date he will only be able to move between the different free market offers. It is enough, in short, to focus on a few pieces of information to understand whether or not there are next steps to be taken'.

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