Energy contracts in Belgium again became cheaper in February, meaning that prices have now gone down for three consecutive months. This rare situation could spur customers to consider switching contracts in the search for a better deal.
Those taking out a fixed contract can now save hundreds of euros compared to last November's fixed rate, consumer organisation Test Achats' calculations in February showed. Analysts from the consumer organisation calculated the monthly tariffs offered by all energy suppliers in Belgium to reach this average.
"This drop is remarkable given that demand for gas and electricity goes up in winter and prices are normally higher," said Laura Clays, spokesperson for Test Achats. She told The Brussels Times that the present situation is largely due to high gas reserves in Europe which mean that the wholesale gas and electricity prices remain stable."We are currently in a very good position because reserves are still 70% filled, meaning the supply will be enough to get through the winter."
Purchase prices in the stock market constantly change due to supply and demand. This higher supply has a positive effect on the estimates that are made by stock markets, resulting in lower prices.
The low prices are also due to increased gas imports from Norway, which means that prices are considerably more stable than when Russia accounted for a large share of supply. In addition, wind power generation has been strong with favourable conditions for renewable energy production.
€600 savings
These factors combined have the remarkable but welcome effect of lowering energy tariffs for consumers for the third consecutive month.
For an average electricity consumption of 3,500 kWh, tariffs are now about €200 cheaper than in November 2023; for an average gas consumption of 17,000 kWh the saving can be as much as €400. "An average consumer using electricity and gas will pay €600 less today than in November 2023," Clays explained.
Whilst the findings should lead customers to take out fixed contracts, Test Achats stresses that prices for variable contracts are also falling and remain a lot cheaper on average.
"The difference between fixed and variable remains around €400 per year for an average electricity and gas consumption," Clays said. There is also a big difference between contracts, meaning that shrewd customers can save significant amounts over the course of a year.
