Dynamic electricity tariffs: How to benefit from flexible prices!

Dynamic electricity tariffs: How to benefit from flexible prices!

dynamic electricity tariffs that are based on the fluctuating electricity exchange price are becoming increasingly important. According to information from Weser-Kurier For example, they arise at night due to overproduction and high wind power that consumers offer advantages. Such an example occurred on July 2, 2023, when the stock market price fell to minus 500 euros per megawatt hour, which corresponded to a profit of 34 cents per kilowatt hour for customers of the Berlin provider Ostrom. In 2024 there were a total of 457 hours with negative wholesale prices, which was 5.2 % of the time.

In order to benefit from these dynamic tariffs, consumers need an intelligent measuring system, also known as smart meters. This is necessary to use the tariffs billed every hour. The energy suppliers have been obliged since 2023 to offer dynamic power contracts. For flexible consumers, such as households with electric cars or heat pumps, these tariffs can be an advantage, while they are less recommended for normal household customers, as well as the consumer center reported.

intelligent measuring systems and costs

The installation of a smart meter costs a maximum of 30 euros unique and 20 euros annually for operation and maintenance. At the same time, landlords could be particularly interested, since modern measuring systems are advantageous when using heat pumps or electric vehicles. However, a conversion of the meter cabinet in 25 % of households could be necessary, which could cause high costs.

Almost 18.98 cents per kilowatt hour gross is estimated by SWB as a consumption price, with dynamic prices in 30 hours under 20 cents and in 233 hours below 30 cents. The highest price in January 2023 was 88.4 cents per kilowatt hour on January 20. However, consumers should be aware that in dynamic tariffs they carry the risk of heavily fluctuating electricity prices and usually vary the prices every day and every hour.

In Germany, more and more providers are in the process of offering dynamic tariffs. These are linked to the EPEX Spot market, where electricity is traded shortly before delivery. Here flexible consumers can benefit from the price fluctuations, while for many household customers a fixed tariff is still a better choice.