Iberdrola energy company

As anybody received email asking to swap electric provider to Iberdrola?  Does anybody know of them ? A|re they cheaper and can you change over yourself rather than through AEA?

 John, following our chat earlier......

Search EOS above on Iberdrola there are lots of threads and lots of answers.

Looks as if there may be a re-connection charge if you change but until someone scans a bill in I cannot tell.

Some say they have a connection charge but I don't know if they have just been connected for the first time. There is normally a charge for this.

Until I can compare rates I will not change.

Hi

I have also received this email, since I purchased my property in DV [2006] we have been with Endesa Energia XXi S.L and pay by monthly direct debit with no problems to date.

Does this mean we have to change to this new supplier, I am happy with my current supplier, any advice would be grateful

regards

Hi, I found this.......so I think for the present its don't panic. I cannot believe a company that takes money from you each month will cut you off unless you do not pay the bill. Also the cost of electricity like other countries has increased but Endesa normally tell you, assuming you get a bill and they even give you refunds when there has been power cuts. I have had at least 2 refunds in the last 4 years, only a few euros but it helps.

Electricity providers in Spain have been sending out letters to consumers informing them of new legislation which comes into force on 1st July 2009

As happened in the UK, it opens up the market to other companies in allowing them to buy the power from the major electricity companies and then sell it on to consumers.

Thanks Jeff.  That explains a lot that the letter from AEA did not explain.

Just when I thought things had settled down and beginning to run smoothly....

This letter from AEA is confusing and could be misleading.

1. "Not setting up a contract with one of these companies, means that your electricity  invoices have increased by 5% reaching up to 20%, applying a “last resort fee” (TUR) with a  surcharge of 20%. "

This seems to be intended to cause panic.

2. ...." .if you have not yet set up a contract with one of them, they have the right to proceed to suspend the current electricity supply."

I know this is Spain but if you are currently being supplied with power  and you are paying your bills  - why would you be cut off ? 

3.  "....the best offer is being give by IBERDROLA..."

How do they know this if all of the tarriffs have not yet been published?  

 Also if this becomes anything like the UK market the prices will fluctuate unless  you are able to lock in a fix price for say a year or two.

 In the UK one can switch supplies with a simple phone call taking 5 minutes.   In Spain AEA propose to charge us 42 Euros for switch our supplies. 

And I do wonder if they are getting a commission from IBERDROLA..

In summary I am disgusted with AEA.  They should provide impartial advice on how to switch and the truth around the need to switch.

Instead they send a letter to induce PANIC so they can make a fast buck.  I am very disappointed with AEA.

Moreover  I wonder if it were possible to negotiate a Duquesa Village group rate with a electricity vendor - i.e. collective bargaining?

Perhaps something to be discussed at an AGM when the market position becomes clearer? 

http://www.typicallyspanish.com/news/publish/article_21634.shtml

 Just calculated that my annual electricity payments are around 160.00.

So a switching fee of  42 Euros is 26% of annual costs. 

Thie above link is helpful

I agree that we could try and negotiate a reduced rate for the development with one of the major suppliers.

It would appear that most of the early purchasers were automatically signed up with Endesa Energia and pay on a monthly basis. I would therefore suggest that negotiation with Endesa be the first port of call.

Michael,

Still trying to fully understand what is happening.  As Jeff summarised - there is still some confusion especially seen on forums such as EyeonSpain.

However I have visited the Endesa site and used google translation.    http://www.endesaonline.es/ES/hogares/teguia/asesoramientotarifas/tarifa_electricidad_tur/novedades/index.asp

Here is a snapshot from their explaination page.  I have bolded some areas and inserted [comments in square brackets.]

"To adapt the Spanish market with the provisions of European Directive 2003/54/EC on the internal electricity market, has amended the Law 7 / 2007 of the electricity sector, envisaging the total liberalization of this sector.

From July 1, 2009, in accordance with Royal Decree 485/2009, there have been two major changes in the distribution and marketing of electricity:

Electricity is no longer supplied by the distributors and passes to be provided exclusively by marketers. Therefore, before this date, you should choose marketing company. If you're still being supplied by a distribution company, your supply is automatically passed to the trader of last resort belonging to the business group that distributor.  [PM- that didn't happen - still supplied by Endesa]

Regulated tariffs are gone, may choose to outsource Free Market Trading at a price freely agreed or welcome you to the Last Resort Rate (TUR).

[? Question?  If were with Endesa and did nothing - who is our Last Resort Marketer?]

In any case, these changes do not involve any alteration in the normal supply of light. [assume this should translate to supply of Electricity]

 Only change the ownership of the company with which you have the contract, and billed to your consumption now.

The Last Resort Rate (TUR) is the single price charged by the traders of last resort for consumers, is unique for all the Spanish territory and established by decree.

Consumers are entitled to benefit from this fare are only those electricity consumers connected at low voltage and power whose contract is equal to or less than 10 KW.   [I think that applies to all of us in Duquesa Village]

If you want to know more about the implementing legislation in the electricity sector, click here:

learn more
You can find more information about the rate in http://www.energiaproxima.com/ TUR

Or if you prefer, here's what we have.  [link to a video I think]

[I'll see if I can find out anything more].

Mail from AEA did not expalin aything about this, why should we change our suplier company? Is this a strong position against Endesa because of aerial wires in DV?...

If we do change wires will disapeared....

Someone can tel us about negotiations whith endesa?

Luis,  I think the overhead cables is a separate matter  and it is for RfY to get the supply for these moved underground.  Probably needs a different thread and is another agenda item for the AGM.  It would be an improvement to see those overhead cables removed.

Will  the billing will be monthly? Yes, billing will continue monthly.

Q. Do I have to make changes in the ownership, direct debit, etc. Who do I contact now?

A. Effective July 1, 2009, for any procurement, modification, or query must go to your company Comercializadora Last Resort. If it's Endesa Energy XXI – you can contact us through any of our offices, Point of Service Network, call 902 50 88 50.

Q. "Can I switch to other Free-Market offers subsequent to July 1 if already assigned me TUR?

A.  Yes, you can accept offers from your last resort retailer or any other Marketer. In the latter case, the initial Comercializadora Last Resort must leave within one year prior to introduce new offerings.

Q  Who will issue the first bill?

A. Effective July 1, 2009 will be the marketing company that billed your supply.

Q.   What information will include the first bill if I signed TUR Rate?

A. In all cases appear different consumption billed through June 30 for your old distributor, and made from 1 July invoiced by the Trading Company which belong.

Q.  What information will include the first bill if I have not hired Rate TUR?

A. If the rate you've hired is not the rate of Last Resort, your bill will include information about the discount you are being implemented in your rate with respect to price Rate of Last Resort (TUR).

Q. How  is consumption rate estimated?

A. Royal Decree 1578 of 27 September 2008 the Ministry of Industry, makes it compulsory for all electricity distribution companies to bill monthly from November 1, 2008. This law applies to all domestic supplies with a contracted capacity of up to 10 kW.   This development has led to significant changes in billing. The law provides that the meter readings remain bimonthly (every 2 months as usual), so for a monthly billing invoice alternate months based on actual consumption and months to bill based on estimated consumption.  The model for the estimate of consumption is set by the Ministry of Royal Decree 1758/2008. and applies to all utilities.

Q. Do I have a new contract?

A. It is not necessary, since the change to TUR is performed automatically with all data from your current supply.

All,  I have translated a Q&A from Endesa site which is interesting.
 

 Michael,

Early purchasers signed with Sevillana-Endesa because prior to 1st July 2009 that was the only choice in the area, it was a monopoly.

Are you suggesting we negotiate for the community power usage or for the individuals in the community? I don't think you can negotiate with electricity suppliers, all you can do is choose the vendor you want to use, just like the UK.

As far as the individuals are concerned the contract has to be separate for each apartment, as with water and telephones.

On some older community I believe one bill can be paid for water, and just one meter is used for the whole entity. Some community with gas have shared gas tanks but each apartment has their own meter for billing.

In January my bank account was credited with two rebates from Endesa for a total of 35 euros.  Wonder how that is calculated?

Also got a water rebate of 25 euros too.  Rather good what?

 You need to look at your paper bills to see this.

Normal reason you are billed every month even though they read only once every 2 months and they estimate the billing for the non meter reading month. Therefore you can be billed too much especially if you are not resident full time.

I.E. You are billed on an estimate for a month of low or non usage following a month of real or higher usage.

Only when the reading is done a balance is achieved via a refund.

Dear posters

I am an authorised agent for Iberswitch and should you require any information please do not hesitate to PM me where I will be happy to help.