Don't Believe The Hype
Don’t believe the Energy Nordic marketing hype. I’ve been an Energy Nordic customer for 3 years and right now, both on their fixed and flex rates, they are one of the most expensive electricity suppliers in Spain. When you add in the fact that they take an upfront deposit from new customers, lock them in to a 12 month contract with withdrawal penalties, and charge a monthly handling fee, they are the LAST company you want as your supplier! In addition, their customer service is non-existent – they do not answer their phones and when you leave a message no one returns your calls. They are a disgrace. I compared electricity tariffs on comparison websites recently and discovered that I could’ve saved €60 on my last month’s bill alone if I switched supplier! These competitor suppliers also don’t lock you in to a 12 month contract, they don’t charge a monthly fee or take an upfront deposit. Energy Nordic have ceased to be my electricity supplier.
Reply from Energy Nordic
Hi Tony and Sue,
Hope you are well. Following similar discussion prior to you leaving, I just thought I'd leave a reply to clarify a few things.
Our FLEX rate is our variable rate which guarantees that you get your energy at the exact market price. We buy power on the energy market every single day, and sell it on to you for the exact same price that we pay – with no hidden charges, just a small handling fee each month. The market price is the price WE pay for electricity. When electricity prices fall, then your costs fall just the same. :)
Alternatively, we have a FIXED rate whereby the cost of your energy is locked in at a set rate, so you always pay the same price per kWh over an extended period of time. Meaning no fluctuations in your energy bill, so you don’t need to worry about having to keep an eye on the energy market - from the day you take the contract for this product, the prices are locked for 12 months.
So regarding pricing - If you by any chance follow the Spanish news you will see that electricity is a seriously hot topic at the moment, at governmental level as there has been a drastic increase in the wholesale price in Spain, and Europe over this past year. Spain is at an all time high in prices at the moment. We sell the electricity to you at the same price we purchase it, with a 6€ per month handling fee, we are not making any extra profit from the high prices currently, quite the opposite! Over the past year there has been an over 300% increase in market cost price of electricity. From 35 €/MWh a year ago to around 190 €/MWh this week.
On OMIE's website you can see the increase over the past year. OMIE is where electricity companies in Spain buy the electricity. Their website is https://www.omie.es (https://www.omie.es) if you wish to follow the prices - you can check day by day, hour by hour. Especially the last couple months, the increase has shot up which is why there is such a media storm surrounding energy recently.
It is not just Energy Nordic with higher than normal prices, but for all energy supply companies across Spain and Europe. The steep price increase here in Spain is due to many factors, but mainly 3 reasons:
1. The weather. Start of the year saw a cold snap, and now we are having heatwaves. This is pushing the demand up and the market has a hard time keeping up, so the price is going up too. "simple" supply and demand.
2: The gas price in Europe has gone up. The production from solar and wind in Spain has been less than anticipated, so natural gas has been used to produce electricity, and with high gas prices, the electricity price follows.
3: CO2 rights have increased. When gas is being used CO2 is emitted and more CO2 rights have to be paid. The tariff changes and high prices of market cost electricity have imposed many, many problems for consumers nationwide, ourselves as consumers included and huge issues for energy supply companies. It is a a serious problem at governmental level that is currently being protested and we predict prices to come down very very soon.
Our contracts are 12 months, which is not abnormal for any other service provider (think mobile, broadband etc). This is always explained in detail before any contracts are taken with us, as with the refundable deposit. This is refunded after 24 months or can be refunded to you at any time if you chose to leave us in the first year, but yes, as outlined in the contract you received, there is a small penalty fee for leaving in the first 12 months.
And lastly, we do apologise if you feel our customer service is not up to your standards. We pride ourselves on top quality customer service and our friendly team work all day every day answering enquires and assisting our valued clients with all things energy. We receive many, many positive comments every day regarding our hard working customer service team especially as most other suppliers rarely have a number you can call, let alone in your own language.
We are transparent with all points above, nothing is ever hidden - all points of our contracts are explained in detail by our team prior to activation of your energy supply with us.
If you have any further questions or wish to discuss this at more detail then by all means, send us an email, give us a call or pop in to our office.
Wishing you both a lovely day and all the best.
Holly
Energy Nordic