Overlooking Electricity Tariffs When Moving: Households Burning 550 Million Euros Yearly!
Relocating Households Overpay €550 Million in Electricity Bills
Grab some popcorn, folks! This conversation is all about your hard-earned cash and how you might be unknowingly flushing it down the drain.
You heard it right! According to a savvy calculation by Verivox, a comparison portal, around 4 million households moving within Germany every year are burning a whopping 550 million euros yearly on excessive electricity bills due to a simple oversight.
Here's the skinny: When you move, many households neglect to change their electricity provider, sticking with the default supply, which can be a wallet- emptier than other tariffs.
Economy "The Shark Hiding in Your Shower"
Verivox based its calculation on the latest monitoring report from the Federal Network Agency. In 2023, there were around 1.5 million electricity provider changes. Imagine 2 out of every 3 households not bothering to find a new electricity provider and opting for the default supply instead. Boom! That's roughly one million electricity customers, diggin' deep into their pockets.
You get the picture. Now, let's talk numbers. On average, households moving into a new apartment end up on the pricey default supply of their local electricity provider, shelling out an average of 1281 euros per year for a yearly consumption of 2800 kilowatt hours. That's a hefty 548 euros more than the cheapest new customer tariff with a price guarantee.
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So, you're moving homes, and the thought of messing with electricity providers is making your head spin. Don't fret! From June 2025, electricity providers and network operators will need to enable the electricity provider change within 24 hours after the contract ends.
However, here's the catch: It will be more crucial than ever for consumers to educate themselves on the electricity situations when moving, as you'll bear the responsibility for electricity consumption in the old apartment, even if someone else has moved in.
A Word on Switching
On the cusp of a move, don't forget to cancel your old electricity provider too. Cancelation is in your court, my friend. Most electricity providers provide a special cancellation right that must be exercised promptly to avoid being on the hook for electricity in the old pad, even after someone else has moved in.
Call to Action
Now, I'm not your mama, but I am here to look out for your wallet. So listen up! The next time you move, remember to kick your existing electricity provider to the curb, whether you're hip to the dynamic pricing trend or not. Your bank account will thank you!
In light of the economic implications of neglecting to change electricity providers when moving, it's crucial for consumers to educate themselves about their community and employment policies regarding electricity. In an effort to save financially, it would be prudent for businesses to include information on this matter in their employment policies to be more supportive of their employees' financial wellness. With the imminent change in the electricity provider switching process in 2025, it's essential for households to understand their rights and responsibilities in managing the electricity finance during transitions.
