The share of households in Flanders with dynamic electricity contracts remains small at just 0.81% in November, according to figures from the Flemish Utilities Regulator.
Dynamic electricity contracts calculate energy costs per hour based on wholesale market prices, which are determined a day in advance.
Only around 21,000 households in Flanders had such contracts by November. In comparison, 73% of households opted for variable contracts, while 26% preferred fixed contracts.
The adoption of dynamic contracts is growing, albeit slowly. Around the same time last year, only about 10,000 households used such contracts.
The federal energy regulator CREG has raised concerns about these contracts. It stated earlier this year that the average consumer is not well-equipped to manage the complexities of dynamic pricing.
Consumers with dynamic contracts must closely monitor hourly electricity prices and adapt their usage accordingly. For example, during negative pricing, unused electricity injected back into the grid could result in unexpected costs.
The CREG report suggested that dynamic pricing contracts carry higher risks for those unaware of how the energy market operates.
Nonetheless, the regulator acknowledged that dynamic contracts could benefit those with the right technology and a proactive approach to energy consumption. For the average consumer, however, they are deemed premature and challenging to navigate effectively.
