ERSE, the Portuguese energy regulator, announced on Monday that there will be a 3.5% drop on the regulated market prices for electricity. Households will save, on average, €1,58 per month.
Households which are still subject to the regulated market’s prices will get a 3.5% cut on their electricity bills in 2019, according to the data released by the ERSE. This decrease will affect around 1.1 million consumers.
This decision is in line with the Government’s plans, but it is completely contrary to ERSE’s prior announcements. ERSE has until the 15th of December, every year, to present the new fees which will be applicable for the upcoming year.
On the 15th of October, the regulator proposed an increase of 0.1% instead. However, the government sent a transfer order to the ERSE of about €189m on the 30th of November.
This change results from the government’s reinforcement (by two thirds) of the extraordinary energetic tax (CESE) which will help tax deficit to decrease, allowing for electricity prices to drop.
Last year the electricity prices decreased for the first time since 2000, as taxes were cut by 0.2%.