Cheap energy tariff on way

One million poorer households will automatically be switched to new rate that could save up to €156 a year

CHEAPER energy bills could soon be on the way for a million less well-off households as new tariffs will be applied automatically.

The measure extending social tariffs, newly published in the Journal Officiel, will mean that families will no longer need to apply specifically for the tarif social that gives average savings of €90 a year for households using electricity for heating and €156 for those using gas.

Announced last autumn, before the extremely hard winter, it was originally due to start from January 1, but was delayed due to extended discussions with competition, data protection and constitutional bodies.

The new rates will be backdated automatically to January 1 - so all energy consumption for affected households will be at the cheaper rate.

Social tariffs are available for anyone receiving the Couverture Maladie Universelle (CMU) Complémentaire, which has an income threshold of e648 per month for single people. Social services will send the names and addresses of eligible people to the electricity and gas companies who will match them with clients and automatically give the new tariff.

They have been available since 2005 for electricity and 2008 for gas, but only 600,000 have taken advantage although 1.5 million have the right.