Electricity price increase of 43% expected
15. 08. 2015
The Belgian business journal 'De Tijd' expects between august 2015 and january 2016 an increase of the electricity price of in total 43% for households in the region of Flanders. The journalist states in its article that this estimated price increase is most probably even a conservative estimation, the real increase can even be higher. The price increase expected by the De Tijd is signiicantly higher than the one communicated before by the government.
The journalist didn't make a simulation of the expected price increase for private companies. The VAT increase from 6% to 21% and the ending of the free electricity delivery of 100 kWh per person, is responsible for 25% price increase. The remaining 18% increase is generated by higher costs for green electricity, increase of distribution costs, etc. These costs also have effect on the electricty price of privater companies. Given the relative high share of these costs in the total electricity price of many private companies, the expected electricty price increase for privarte companies can be significantly higher than 18%.
The ending of the free electricity delivery of 100 kWh per person (responsible for 12% price increase) is not applicable for public authorities, such as municipalities and cities. The growth of electricty prices for public authorities thus can be about 36%, altough also this figure will depend of the share of the different components in the electricity invoice of public authorities.
More info: De Tijd
