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Electricity prices in 2024. An expert on the changes we will see on our bills

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Some kind of mechanism that will freeze the temperature, but will allow for an increase in electricity prices, will probably be introduced – said Robert Tomaszewski, head of the energy department at Polityka Insight, on TVN24. In his opinion, without such consumer protection, the increase could reach 60-70 percent.

There is a freeze in 2023 electricity prices at the 2022 level. However, next year electricity bills may increase significantly if the mechanisms for freezing energy prices are ended.

When asked what will happen to electricity prices in 2024, Robert Tomaszewski replied: – This is a decision for the future government. This means whether a decision will be made whether to extend the mechanism that is currently in force, or whether to implement some other mechanism that will freeze energy prices but allow for some increase, or whether to make these prices more realistic and lead to such a market return. . I would rather expect the second option and this, of course, also follows from the statements of the representatives of the current democratic opposition that this type of protection will be implemented so that we do not have to deal with a market shock.

How much can electricity prices increase in 2024?

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When asked what prices would look like without this protection, Tomaszewski replied that compared to the prices we have now, we can talk about an increase of up to 60-70 percent. – 70 percent, in my opinion, is very realistic. In the case of such a standard household, we are talking about PLN 100 more per month when it comes to electricity expenses, given the marketization of this price and the lack of implementation of any protective mechanism – emphasized the TVN24 guest.

He added that “it’s about PLN 1,200 per year,” but he wouldn’t “expect it” because “some kind of mechanism to avoid this social shock will probably be introduced.”

– It is certainly the case that we have emerged from a very large energy shock, the peak of which occurred at the turn of August and September 2022. Currently, the prices of all energy carriers, gas, coal and electricity, are approximately 2 or 3 times lower than at those peaks. However, these prices are still higher than what was happening before the energy crisis, Tomaszewski pointed out.

In his opinion, “such a gradual realignment is most desirable”, but “we must return to a situation in which we know exactly how much this energy price costs, assuming that it will take some time.”

– Let us remember that these are huge expenses burdening public finances that we have to bear. So, rationalization and protection of those consumers who are most at risk due to the inability to, for example, finance such higher energy bills – absolutely yes – he said.

Electricity prices in 2024 – entrepreneurs

What about entrepreneurs? – It depends which entrepreneurs we are talking about. As for small and medium-sized companies, they are now taking advantage of the maximum price for electricity. For now, we have no signals that they will be offered anything for next year, so this market segment can currently expect the highest price increases, said Tomaszewski.

He also added: – When it comes to large corporations and large companies, they negotiate their electricity rates individually. They have the opportunity, due to their size, to come to an agreement so that they are not so large. But due to the rising costs of CO2 emissions, due to high inflationthey are also at risk of paying much more in 2024.

The Energy Regulatory Office analyzes tariff applications

The Energy Regulatory Office has received tariff applications regarding electricity prices from all the largest so-called ex officio sellers – Agnieszka Głościewska, spokeswoman for the Energy Regulatory Office, told TVN24 Biznes on Tuesday. The deadline in this case was Tuesday, October 31.

As she explained, the applications were submitted by Tauron Głos, Energa Obrót, PGE Obrót and Enea SA. These companies are obliged to submit applications for approval of tariffs for the sale of electricity to households.

Agnieszka Głowniewska also reported that the Energy Regulatory Office also “received tariff applications from four of the five largest distributors: Stoen Operator, Energa Operator, Enea Operator and Tauron Dystrybucja.” – We are waiting for PGE – she added.

The spokeswoman also informed that the Energy Regulatory Office “is starting to analyze these applications.”

Main photo source: Shutterstock

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