Repsol squeezes Spanish biggest power groups Endesa and Iberdrola

The commercial battle to win over electricity customers is intensifying, and the big players are throwing all their weight around trying to prevent consumers from returning to the regulated market, which is much cheaper at the moment after registering a 14% drop in customers so far this year, compared to the same period last year.

Repsol, a global energy company, has just raised its bid and has increased from $108 to $162 (€100 to €150) the offer it was making to try to snatch customers from the rest of the sales companies. When you register with the oil company’s sales company, you get a discount on fuel depending on the number of electricity, gas and service contracts you sign and, depending on these, you get a greater discount on Premium fuels (Diesel e+10 and Efitect 98).

The discount is applicable whether you contract different products and services for the same supply point or if you sign contracts at different supply points. For example, according to the oil company, you can contract light in your main home and light and gas in your second home; or light, gas and Your Assistant in a single home. In both cases would be contracting 3 products and could enjoy this higher discount that is monetized through its mobile application Waylet.

Latest investing news and finance headlines straight from the Born2Invest mobile app. Explore what interests you the most.

Endesa and Iberdrola offers

Iberdrola’s Stable Plan and Repsol’s Online Tariff are the electricity offers that have a fixed price for kWh during the 24 hours of the day. These rates are recommended for users who cannot adjust the hours of consumption of electricity and who always want to know the price they pay for the term of consumption on their bill.

Endesa and Iberdrola have so far offered discounts of $108 (€100). Endesa gives $108 (€100) to customers who contract its electricity and natural gas offer or, if applicable, $54 (€50) if they contract one of them. According to the company, for contracts signed since the start of the promotion, the incentive will be paid on the first invoices issued from January 15th, 2020 onwards, provided that the invoice period includes that date.

Iberdrola, meanwhile, is offering a $65 (€60) discount to its new electricity customers plus a 10% discount on the energy term and $43 (€40) to natural gas customers, which it finds less attractive since the company has also sold its gas contract portfolio.

Iberdrola Stable Plan or Repsol Online Tariff

The electricity company’s offer is only available on its website and also allows you to choose the hours you want to save by means of different customized plans usually offered by the company: Choose 8 Hours Plan, Stable Plan, Summer Plan, Winter Plan, and Night Plan.

With these offers, the electric companies are transferring to the customers the margin that previously had the commercials that were in charge of the cold door sales for the companies and that generated a deep discontent among the users because of the great number of irregular practices detected.

In the last three years, the number of points supplied by free traders has progressively increased by two million supplies. Of these new supply points in the free market, the five main marketers contracted $1.1 million (€1 million) (among them Endesa Energía, with more than $540.137 – €500.000), while the rest of the independents contracted another $1.1 million (€1 million) (which meant an increase of 65.1% in the number of supplies for them), according to the CNMC.

__

(Featured image by Anthony Indraus via Unsplash)

DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.

This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

First published in elEconomista.es, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.