Bill to protect vulnerable consumers and fight energy poverty

Automatic summary, not yet reviewed

1. The bill would give vulnerable consumers the right to a sufficient energy supply at an affordable price. Vulnerable consumers would be those who do not exceed basic consumption thresholds and are, for example, in households where everyone is unemployed, receive minimum pensions, or have a household income per person below 75 percent of the minimum wage.
2. The vulnerable consumer status would apply to electricity, natural gas, butane and propane, and could be extended to other regulated energy supplies.
3. It would create an affordable social tariff, approved every quarter by the Council of Ministers at the proposal of the National Commission on Markets and Competition. The cost not covered by these customers would be treated as a system cost, funded through charges or the State Budget.
4. It defines energy poverty as the situation of a vulnerable consumer who spends more than 10 percent of annual household income on energy bills for basic domestic needs. Recognition would be granted case by case after an individual review.
5. Energy companies could not cut off supply to people in energy poverty without prior authorization from the administration, and never before six months have passed since the first payment request. Cuts would not be authorized during the coldest months or if the supply is essential for the health of the residents.
6. The Government would approve, with the autonomous communities, a strategy to eradicate energy poverty, including preferential loans to renovate inefficient homes. People whose supply was cut for nonpayment in the previous twelve months could request reconnection paying only the debt, with no management, connection or reconnection fees.

Who it affects

• Vulnerable consumers (people on minimum pensions, households where everyone is unemployed, low-income families, large families).: Would have the right to a sufficient supply at an affordable price through the social tariff.
• People recognized as being in energy poverty.: Could not be disconnected without prior authorization or during the coldest months.
• Energy supply companies.: Would need prior authorization to cut supply and would bear the social tariff cost as a system cost.
• The Government, autonomous communities and city councils.: Would have to approve a strategy against energy poverty and designate the bodies that authorize supply cuts until a specific procedure exists.

Words worth knowing

Tarifa social (social tariff)

A reduced, regulated energy price for those entitled to it.

Consumidor vulnerable (vulnerable consumer)

A person or family with low income or in a difficult situation who needs energy for basic needs.

Pobreza energética (energy poverty)

The situation of someone who spends more than 10 percent of annual income on energy bills for basic needs.

Coste del sistema (system cost)

An expense spread across the whole energy system instead of being paid only by some consumers.

It summarizes the text as it was introduced. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries