In 2022 there may be primary differences in the amount of strength payments. These variations do no longer most effective depend on your intake and the choice of whether or now not to interchange. Next 12 months, your strength expenses will especially rely on while your contract commenced. We name at the government to intervene further and reduce the VAT on electricity bills from 21% to 9%. Curious how that is?
It can not have escaped your notice: strength expenses rose sharply in the closing quarter of 2021. But now not for every body. It relies upon on the energy contract you’ve got. We explain it for unique conditions.
Annual savings as much as 500 euros
Since the liberalization of the electricity marketplace, switching has led to annual financial savings of as much as 500 euros for an average household (3500 kWh and 1500 cubic meters). More and extra clients check their fixed fees every yr to look where they can without problems shop cash. For energy, fifty three% of Dutch households have switched over the past 3 years. Sometimes prices had expanded or reduced slightly as compared to the preceding year. But specially the reductions for brand spanking new customers made the massive difference.
Turbulent energy market
The strength market has became out to be loads extra turbulent during the last two years. Energy fees plummeted at the start of the corona crisis. Worldwide, the commercial enterprise network makes use of plenty less energy. The mild winter additionally performed a part in this. This year the opposite happened. The restart of the economy, mixed with a chilly spring and shortages in fuel components, prompted an substantial charge growth at a record pace. And increasingly families sense that in their wallets.
‘Reduce VAT on fuel and mild to 9 percent’
A large part of your electricity costs consists of government taxes. Due to the excessive power expenses, the cabinet will return an average of 478 euros to families subsequent year. Regardless of your consumption, every body with an strength connection will get hold of a fixed refund of 824 euros. You can study extra about that in our blog. The cupboard is allocating 2.7 billion euros for this and 0.5 billion for agencies. But in the period in-between, the treasury itself earns a maximum way to the 21 percent VAT on the energy bill. If the government without a doubt desires to hold the strength invoice less expensive, it would be better for gasoline and light to fall beneath the low VAT rate. Below you can see how the average electricity invoice is based as of January 1, 2022.
Structure average strength invoice
Grid management fees
Delivery fees € 2365
Government levies €856
Grid management costs € 393
Ben Woldring says today within the AD: ,,In June, households had been capable of finish an annual agreement for approximately 2000 euros. Now the cheapest annual contracts start far above 4000 euros. As a end result, the VAT rises from about 350 euros to more than 700 euros.” In this manner, 1 to two billion euros more flows into the treasury. We agree with that the new cupboard could do properly to encompass the VAT on energy in the low charge of 9 percent, now it’s far 21 percentage. In this manner, the energy bill may be reduced by way of numerous hundred euros. “Now that electricity fees can just remain excessive for a while, it appears realistic to lower the VAT on the sort of crucial primary requirements”. After all, the low price is intended for fundamental requirements which includes food and drink.
According to Ben, it become in no way the goal of VAT on energy to fill the state treasury with these varieties of fees. “Europe is regularly cited, in particular in Europe you could now see that the European Commission is likewise involved approximately excessive electricity costs,” he says on BNR. If households have much less to spend, much less will become at corporations. Ultimately, it influences the complete economic system. Reducing the VAT to 9 percent is quite simple.
What will your power invoice appear like in 2022?
1. You concluded an power contract with a term of 2 years or longer before 1 July 2021
Then you seem to have made a very good choice. You have fixed the rates exceedingly low for the complete term of the contract. And because of the tax discount, of 478 euros for a mean family, your energy bill may be even inexpensive next yr. Our recommendation: test with the decrease taxes and perhaps changes on your power consumption whether or not your installment amount still fits your intake.
2. You concluded an annual settlement with fixed fees within the first half of 2021
Then you continue to have favorable fees so you are not yet faced with the excessive power charges of the moment. In the coming months, your energy invoice may be even cheaper than ultimate yr.