Tax, Benefits & Cost of LivingBusiness & FinancePolitics
Households weigh energy contracts as prices rise
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Households were seeking security as rising gas and electricity prices made it harder to choose between fixed, variable and dynamic energy contracts. Fixed contracts offered price certainty but could become expensive if prices fell, while variable contracts were adjusted several times a year and dynamic contracts changed daily or sometimes hourly. Some households chose fixed contracts despite the cost, while others opted for dynamic contracts or a price cap on gas tariffs.
The rising gas price was also affecting households without gas heating because electricity prices remained linked to gas and more than a third of electricity was still generated in gas-fired plants. The Consumers' Association and United Consumers said they were receiving questions from customers, while Climate and Green Growth Minister Stientje van Veldhoven pointed to the Emergency Energy Fund and insulation subsidies as measures for households needing the most help. Energy companies including Shell and Vattenfall reported sharply higher profits, and political calls were being made for additional taxation of such profits.