Most energy suppliers in Belgium only offered new variable tariffs last year as a result of the energy crisis. Soon, four fixed contracts will become available again, but which one is the cheapest, and is it worth switching?
At the start of this year, Luminus, which was the last of the country's energy suppliers to switch to offering exclusively variable-rate deals, reintroduced fixed-rate energy contracts for its customers, a decision precipitated by stabilising energy prices and continued high demand for fixed-rate contracts.
Following the announcement, consumer organisation Test Achats warned customers not to rush into such contracts as prices could further fall. Later, it criticised the fact that other energy suppliers were not offering such fixed-rate contracts.
Since then, French utility company Engie has launched a one-year contract of which the price cannot change, but it is only offered in limited quantities, meaning people have to contact Engie directly via their website or by phone. Mega has also started offering a product with a fixed energy price for one year.
Test Achats welcomed the fact that two suppliers, including the market leader, have decided to offer fixed tariffs again.
"We hope this sets the tone and that other suppliers like TotalEnergies, Eneco and Octa+ will soon follow, because we know that consumers prefer fixed tariffs," said spokesperson Laura Clays.
A comparison
Test Achats compared the four options currently available on the market: Engie's Easy Fixed, Mega's Cosy Fixed and Luminus' Comfy, as well as Optifix – which it rated as the cheapest.
"As part of this contract, an average family pays €808 for electricity and €1,318 for natural gas, excluding net tariffs and taxes," Test Achats said. However, this contract only offers an online service.
Engie's Easy Fixed and Luminus' Comfy are €166 and €180 more expensive, respectively, while Mega's Cosy Fixed is the most expensive, at €934 for electricity and €1,476 for natural gas.
"This is partly due to the remarkably high fixed fee of €137.8, which you pay in full per started contract year. If you decide to switch to another contract after six months, for example, you still pay the full amount," Test Achats warned.
However, the organisation did argue that, compared to the current variable offer on the market, the fixed prices on offer are still "very high."
"Looking at the variable electricity product DATS24 (Colruyt Group), for example, we see an estimated price of €643 for electricity and €1,110 for gas.
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This means that for an average electricity and gas consumption, a household faces having to pay between €373 (Luminus Optifix) and €657 (Mega's Cosy) more on an annual basis compared to DATS24's variable product.
"That fixed products are more expensive than variable ones is in itself normal given the risk premium built in by the supplier for the price guarantee, but here we are talking about significant amounts," Clays argued.
Consumers can calculate the most advantageous electricity and gas tariff for their households with Test Achats' energy comparator.
