The Czech Republic’s leading energy supplier, ČEZ, has recently announced a decrease in its tariffs for electricity and gas. The price lists for electricity and gas will be updated with a fixed term of one to three years from May 15. The average decrease for electricity is 350 CZK per megawatt-hour (MWh), while for gas, it is 300 CZK/MWh. The reduction is in line with other suppliers who have also recently announced similar price cuts.

The CEO of ČEZ Prodej, Tomáš Kadlec, stated that they are offering affordable products at excellent prices to over 1.3 million customers on previous fixed terms. The new tariff system is set up such that the longer the contract period, the lower the price. With the recent updates, customers will now pay 510 CZK/MWh less in the first year of the contract than the government-set ceiling of 5,000 CZK without VAT for electricity and 2,500 CZK without VAT for gas.

For customers who do not want to commit for a long time, ČEZ Prodej offers a one-year fixed term, while a two- or three-year fixed term is available for those seeking long-term security. If a consumer has a three-year contract with a supplier, in the final year, they will pay 3,970 CZK/MWh for electricity in the distribution rate D02, while for gas, they will pay 1,500 CZK/MWh in the “Topím” rate.

Besides the tariff reduction, ČEZ Prodej plans to update its price lists regularly if wholesale prices continue to fall. Wholesale energy market prices have been decreasing for several months, leading to several price cuts by energy suppliers in recent weeks and months. Energy suppliers are willing to continue reducing prices if the situation on the wholesale market supports it.

Other energy suppliers have also recently updated their prices, with MND now offering gas without a fixed term for 2,289 CZK/MWh with VAT and electricity without a set time for 5,190 CZK/MWh with VAT.

The reduction in energy tariffs is a welcome relief for consumers who have been experiencing high energy bills. The cuts are likely to provide some relief to households and businesses struggling to manage their energy expenses during the ongoing economic uncertainties.

Article by Prague Forum