The 2010 legislation enabling EDP electricity customers on low incomes to access the ‘social tariff’ cheap rate at last has seen some results.
EDP failed adequately to advertise the low rate deal, ending up with a €7.5 million fine from the regulator which has been challenged by the EDP boss, António Mexia and remains unpaid.
The government made the scheme automatic as of July 1st this year, thwarting EDP’s miserable application of the new law and enabling the poorest customers to benefit.
The latest beneficiaries of the social tariff are to receive the deal as from January 1st next year with a discount of 33.8% on their electricity bills, joining those already accepted onto the scheme this year.
The updated deal whcih automatically includes those on low incomes was instigated by the Secretary of State for Energy, Jorge Seguro Sanches, and now applies to 29,060 contracts in the Algarve.
Portimão has the most beneficiaries, with 4,165 on the cheap rate, followed closely by Loulé, where there 4,154 will benefit, according to the office of the Secretary of State for Energy.
This discount is based on last year’s income which, if the householder receives less than €5,808 a year, significantly helps those in fuel poverty. The EDP boss, by comparison, earned €2.1 million last year.
Comments
Depends on what is on your Portuguese tax return and whether you are a resident in Portugal, possibly on asset value of your property too. This low rate electricity is for people on low incomes, not for those with two homes who would not be considered in need of help.
ERSE. The watchdog with no teeth it would seem.