Electricity comparison: what you should consider as a consumer

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What you as a consumer should consider when comparing electricity

  • The electricity price per kilowatt hour is also referred to as the working price and, as is well known, has risen steadily in recent years. The term "kilowatt-hour" or "watt-hour" is important here. Consumers should bear this in mind when comparing electricity prices.
  • Electricity is usually measured in kilowatt hours and is read from analog or digital electricity meters and then recorded. A kilowatt hour is a thousand times more than a watt hour. A watt hour (Wh) is the amount of energy that a technical device needs in one hour to function.
  • Customers can find information about their specific watt-hour consumption on most electronic devices. The so-called energy class can provide information about the energy efficiency of devices. Only devices in classes A to G are particularly energy-efficient.

What should you look out for when comparing electricity providers?

Since each of the approximately 1,000 electricity providers offers a whole list of different electricity tariffs, it is no longer easy to keep track of this seemingly endless jumble of numbers. Luckily it is with one independent electricity comparison on the Internet not difficult to find the specific and most suitable electricity tariff.

However, no provider is cheap in the long run. The electricity market is particularly volatile. Depending on the contract, the electricity tariff is only very cheap in the first year, but increases in the following years. The increases are by no means hidden or sneaky. However, individual providers take into account the convenience of the customers, who simply let the contracts continue and do not bother to take out a new electricity contract.

Looking for the best electricity tariff with the electricity comparison

The best electricity tariff is a combination of several elements. First, he should Contract the shortest possible term and period of notice to have. It should also offer customers a price guarantee to protect them from price increases during the contract period. At the end of the contract period, he should check whether the electricity contract provides for an automatic extension.

Short term and notice period

Customers should pay attention to the shortest possible contract period and an equally short notice period, which should be combined with a price guarantee for the entire contract period. In order to avoid unnecessary bureaucracy, the electricity supply contract should be automatically extended under the same conditions if it is not terminated in writing by one of the contracting parties in due time.

Max. 12 months contract duration

In general, electricity providers want to keep their customers for as long as possible. Therefore, the consumer advice centers recommend that the minimum contract period should not exceed 12 months. The better companies are the ones that typically offer 6-month contracts. Apparently, the product is so customer-friendly that they don't have to worry about canceling the contract quickly.

The shorter the notice period in the contract, the better. If the electricity provider increases the price per kilowatt hour, the customer has a special right of termination. In order not to be tied to an electricity contract for months, recommend consumer protection organizations, to ensure that the notice period is not more than one month.

price guarantee

An appropriate price guarantee also protects the customer against electricity price increases during the contract period. Most providers formulate a "limited price guarantee", which means that part of the price increase imposed by the state is usually passed on to the end customer. Electricity costs can therefore continue to rise despite the price guarantee. Therefore, customers should pay close attention to whether a price guarantee is actually offered; some providers do this and bear the associated risks themselves.

If the electricity contract is linked to an automatic renewal, which is desirable, you as the customer should pay attention to the cancellation date. You should also make sure that the period of the automatic contract renewal is short (e.g. only one month), because that is fair and convenient for everyone involved.

Worse service at the discounter

Energy discounters can usually offer their customers particularly low tariffs. In the case of energy discounters, the network provider takes over the processing. The final bill for energy discounters does not come from the provider itself, but directly from the network operator. Customers should be aware that this means a great loss of service.

Bonus offers when comparing electricity

Electricity providers try again and again to lure customers with a bonus for new customers and to make the conclusion of the contract more attractive. Such a new customer bonus is a rebate that the provider pays out at the end of the first year of delivery or deducts from the bill at the end of the year. However, new customers usually only benefit from the new customer bonus if they have not concluded a contract with a specific electricity provider in the last six months.

In the electricity tariff comparison, the providers also offer an immediate bonus separately, which you as a customer receive in the first year of the tariff. In comparison to the new customer bonus, the electricity provider usually grants this discount four to twelve weeks after the start of electricity delivery. However, the prerequisite for the instant bonus is that you, as a new customer, have not concluded a contract with the electricity provider within the last six months.

When comparing electricity providers and deciding on a new provider, consider these important bonuses. With the right filter setting in the electricity comparison calculator, you can also look at tariffs without such bonuses.

Is a power comparison worth it?

You should compare electricity prices to help with your monthly electricity bills save up. When you compare electricity providers, you can often find cheap rates that can save you hundreds of dollars a year. Even if you made such an electricity comparison in the past and then switched providers, you should regularly make a new comparison to further reduce your monthly electricity costs and save even more money in the future. If you also have the feeling that the current electricity price is still too high, you should compare electricity immediately and not wait any longer. Even if the electricity price doesn't seem too expensive to you, you should compare electricity costs, because cost savings are probably possible here too.

There are several ways you can try to lower your monthly electricity bills. You should buy the electrical appliances with the lowest energy efficiency class and switch off unnecessary appliances. At the same time, refrigerators and freezers should be defrosted regularly, and only full-fledged washing machines and dishwashers should be turned on. You should also unplug chargers after charging. All of these tips will help you save on electricity, but it's always worth comparing electricity prices. Every customer can benefit from this and find a cheaper electricity provider by comparing them.

People often switch providers to free themselves from expensive electricity supplies. But not only in this case it is worthwhile. Since not only electricity prices are rising, but also the number of electricity providers, competition is constantly increasing. Every provider wants to offer its customers cheap electricity tariffs in order to attract many customers. That is why electricity prices are constantly changing. That's why it's worth doing a regular electricity comparison to see if you're still getting the cheapest rate on the market. In addition to the monthly savings, the providers usually offer a lucrative bonus or a premium for switching.

Electricity prices of the basic supplier

The electricity provider that provides electricity to most of the homes in an area is called the basic utility. This means that every household is entitled to a basic supply and automatically receives electricity from this provider. The default supplier is reviewed every three years and a different electricity supplier may be designated.

The current basic suppliers include e.g. B. Vattenfall in Hamburg and Berlin, Stadtwerke München GmbH in Munich and RheinEnergie AG in Cologne. If you have not yet changed your electricity provider, you are automatically a customer of this basic supplier. This is a convenient and simple service because you are automatically supplied with electricity from your default supplier from the first application. However, the basic supplier is usually significantly more expensive. If you get your electricity from your default supplier, it's a good idea to compare current electricity prices to save more money in the future. Experts explain why the basic supply is much more expensive than alternative electricity providers.

Are you still with your primary care provider? You have to know that:

  1. The notice period is always important when comparing electricity. The notice period for a primary care provider is quite short, just two weeks. However, the risk of losing customers quickly is greater.
  2. The market position of the provider must also be taken into account. As a basic supplier, the provider has usually acquired a particularly good market position with many customers. Therefore, it is no longer necessary to lure customers with low electricity prices.
  3. Since the default supplier usually has to supply all households in a region, the expenses are significantly higher. If an alternative electricity provider also becomes insolvent, the main supplier must intervene immediately so that you, the consumer, can continue to receive electricity in the future.
  4. An important aspect is the customer credit risk. The default supplier must supply all customers with electricity, including those with bad creditwho would otherwise not receive any other electricity supply contract. This is always associated with a risk. However, the supply is only interrupted if a claim is not paid several times.

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