Minister of Energy Announces Electricity Reform: Consumers to Choose Suppliers by End of July

by time news

2024-03-23 10:43:58

The Minister of Energy, Eli Cohen, announced that towards the end of the month of July 25th, every electricity consumer will be able to choose his supplier, in accordance with the electricity reform. In his words, Minister Cohen put an end to what looks like a reform that will be implemented over the next 4 years. This is because, as we know, the application depends on the transition to a smart meter – the electronic reader of consumption according to the hours of the day, the so-called tariff, load rate and time.

Today, only less than 30% of consumers have such a meter and the goal is to complete the transition to meters for all consumers by 2028, at best. Smart meters have been in use in the industry for close to two decades.

The electric company delayed completing the transition to smart meters and even today the transition is being done in a measured manner. This is a wait of months between the order and the actual execution. Minister Cohen set a near transition target, which will allow all consumers to save considerable amounts on their electricity bill, by switching to providers such as telecommunications companies, Pazgaz, Amishragaz, Power and more.

Switch to a smart meter Photo: Shutterstock

The transition to smart meters is very important for the implementation of the reform at its best, because part of the savings on the electricity bill depends on changing the behavior of consumers, through an incentive. If we know that electricity consumption is cheaper at night, for example, we can direct the washing machine, the dryer, the dishwasher and even the boiler for heating the water, to the cheapest hours and reduce the consumption during the peak hours.

Of course, charging the electric car is also part of the issue lately – even today it is unnecessary to charge it during peak hours, but those who have a smart meter have an incentive to drive that way. In all likelihood, switching consumers to another energy supplier from the electric company will save less for consumers who do not have a smart meter, but it will save something, because without a discount no one will bother to switch suppliers.

The electric company will continue to be solely responsible for the transportation of electricity, and therefore also for network faults. So the only change from the consumer’s point of view will be in the payment destination. This new structure of the market will finally make it possible to introduce competition into one of the non-competitive areas that accompanied us instead of the state.

#Electric #company #choice #provider #citizen

You may also like

Leave a Comment