An electricity contract with a new option has just hit the market.
The electricity bill has truly become one of the main financial concerns of the French. With the arrival of winter and the drastic drop in temperatures, most families were forced to turn on the heating. However, the fear of a rating surge is very present.
To try to cushion the blow, many are maximizing use of off-peak hours, when electricity is cheapest. In recent weeks, a new formula with additional off-peak hours has arrived on the market and could be advantageous for many families.
Until now, energy suppliers offering peak/off-peak contracts only provide 8 off-peak hours per day. This is the case of Engie and Total Energies. But another provider created a new system: off-peak hours, peak hours and… additional “solar” hours, at a lower cost.
Concretely, this allows you to benefit from low-cost electricity for 13 hours: from 11pm to 7am, then from 11am to 4pm. And even peak hours are cheaper than the regulated fare.
This contract is marketed by OHM Energie. This is the “Module” offer. This is divided into two periods: from 1 November to 31 March, with the classic system of peak and off-peak times. Then, from 1 April to 31 October, an additional five daily off-peak hours are introduced, from 11am to 4pm, known as “solar hours”.
In these times, in fact, the production of solar energy is so important that prices are decreasing and OHM has decided to pass it on to its customers. The supplier promises savings of 50% on these hours compared to the electricity price effective from 1 October 2024. Other off-peak hours are announced as 20% cheaper and peak hours as 10% cheaper than on-peak hours. current prices, throughout the year.
An advantage for the wallet? If these prices are displayed as ”fixed” for one year, it should be noted that this is only the price per KwH of electricity. Since a tax increase is expected on February 1st, those who sign this contract are expected to soon see a slight increase in their bill. Furthermore, since the price is fixed, this will not be worth the reduction in the KwH price also foreseen for February on some contracts.
However, “this offer is interesting”, confirms Chloé Servigne, energy editor of Selectra. “During peak hours (from February, ed.), the price will be a little higher than the regulated rate, but during off-peak hours and on sunny days it will always remain cheaper,” he explains.
A central question remains: how can we ensure that electronic devices adapt to these new, cheaper times? For the water heater, for example, the intervention of a technician is strongly recommended.
What are the key benefits of the new electricity contracts being introduced in France?
Interview: The Future of Electricity Contracts in France
Time.news Editor: Good afternoon, and welcome to this special interview on the evolving landscape of electricity contracts in France. Today, we have the pleasure of speaking with Dr. Claire Beauvais, an energy policy expert with extensive experience in the dynamics of the electricity market. Thank you for joining us, Dr. Beauvais.
Dr. Claire Beauvais: Thank you for having me. It’s a pleasure to be here.
Editor: The electricity bill has become a significant concern for many French households, especially with winter approaching. Can you provide some insights into how the shift in electricity contracts is perceived in the current market?
Dr. Beauvais: Absolutely. As temperatures drop, families are indeed anxious about rising energy costs, particularly with heating needs. This heightened concern has prompted a more profound look at electricity contracts. The introduction of new options, especially those that maximize off-peak hours, presents an opportunity for many households to manage their expenses better.
Editor: Speaking of new options, can you elaborate on the recent contract introduced by OHM Energie, which offers additional off-peak hours?
Dr. Beauvais: Certainly! OHM Energie has launched their “Module” offer, which is quite innovative. Traditionally, most contracts provided only eight off-peak hours. However, this new option extends the off-peak benefit to 13 hours, covering the hours from 11 PM to 7 AM and 11 AM to 4 PM. This means families can align their electricity usage with cheaper rates, especially overnight.
Editor: That’s fascinating. How does the inclusion of these additional solar hours affect the overall pricing strategy of electricity?
Dr. Beauvais: The addition of these solar hours creates a more flexible pricing structure that can accommodate varying consumption patterns. Not only do consumers get to benefit from cheaper rates during off-peak hours, but even the peak hours offered in this contract are priced lower than the regulated tariffs. This could encourage more households to shift their usage habits and optimize their consumption.
Editor: With companies like Engie and Total Energies only providing the standard eight off-peak hours, do you think this will create competitive pressures in the market?
Dr. Beauvais: Absolutely, competition is vital for any market, especially in energy. OHM Energie’s new offering could set a precedent that pushes other suppliers to reevaluate their contracts. This could lead to further innovations in pricing and options, ultimately benefiting consumers by providing them with more choices and potentially lowering their overall costs.
Editor: How can households make the most of these new electricity contracts in practical terms?
Dr. Beauvais: Households can start by looking closely at their consumption patterns. Understanding when they use the most electricity can guide them in taking advantage of off-peak hours. For instance, using high-energy appliances like washing machines, dishwashers, and even heating during these low-cost hours can significantly reduce bills. Also, smart home technologies can help manage energy use more effectively.
Editor: As an expert, what other trends do you foresee in the electricity market over the next few years?
Dr. Beauvais: We can expect more personalization in energy contracts, where providers will tailor services to individual usage patterns. Additionally, the integration of renewable energy sources, such as solar power, will play a significant role in shaping pricing models. The focus on sustainability will likely lead to contracts that encourage energy efficiency and conservation.
Editor: Thank you, Dr. Beauvais, for sharing your insights. It’s clear that the electricity market in France is evolving rapidly, and these changes could have a significant impact on consumers.
Dr. Beauvais: Thank you for the interesting discussion. It’s an exciting time for energy in France, and I look forward to seeing how these trends unfold.
Editor: We appreciate your expertise and hope to speak with you again as the market continues to evolve. Thank you to our audience for tuning in!