400,000 families lose social rate: this means the reform of the energy bill for your wallet

[https://www.hln.be/economie/400-000-gezinnen-verliezen-sociaal-tarief-dit-betekent-de-hervorming-van-de-energiefactuur-voor-uw-portemonnee\~a5776ed2/](https://www.hln.be/economie/400-000-gezinnen-verliezen-sociaal-tarief-dit-betekent-de-hervorming-van-de-energiefactuur-voor-uw-portemonnee~a5776ed2/)

**The federal government has agreed on a series of far-reaching energy measures. For example, the VAT on electricity and gas will fall permanently to 6 percent, but excise duties will be added. In addition, 400,000 families lose the social rate, which means that up to 1,125 euros extra will be added to the annual statement for those families. We answer the most important questions about the impact of the reform on your portfolio.**

## What exactly has been decided?

The core cabinet of the federal government takes three important decisions with regard to the energy bill. First and foremost, it concerns a reform of that invoice. The VAT on gas and electricity will go permanently to 6 percent, with an excise reform linked to it. In addition, the extended social rate will be phased out again, so that fewer families will enjoy it. There will also be a reform of that social rate. And finally, the government already had an agreement with the energy suppliers to check the advances automatically, [ with the intention that they will follow the (falling) prices more quickly. ](https://archive.ph/o/fhcuh/https://www.hln.be/binnenland/als-je-voorschot-te-hoog-is-moet-je-energieleverancier-je-dat-voortaan-laten-weten~a6884614/)

## What exactly is the reform of the energy bill?

The VAT on natural gas and electricity will be permanently reduced from 21 to 6 percent from 1 April. At the same time, higher excise duties are levied. These will fall for the so-called basic consumption – 3,000 kWh for electricity and 12,000 kWh for natural gas – when wholesale prices exceed a certain limit. For natural gas, this limit is set at €100/MWh and for electricity at €250/MWh. Conversely, the excise duty on natural gas will increase when the wholesale price drops below €45/MWh. “To prevent people from consuming more when prices are low.” At the moment, the market price for gas is within the proposed price range and also for electricity below the upper limit. Consumption in addition to the basic volume will always be taxed at the full excise duty rate.

## Will my energy bill increase?

With an average consumption of 3,500 kWh of electricity and 17,000 kWh of natural gas, the excise duty reform at last month’s price level means an estimated additional cost of about 20 euros per month – or 240 euros per year – compared to the current situation (6 percent VAT). This is shown by a simulation of the cabinet of Minister of Finance Vincent Van Peteghem (CD&V). Compared to a return to 21 percent VAT on the energy bill, this is a saving of 37 euros per month. A single person pays about 10 euros extra per month, a household without natural gas consumption that uses 8,000 kWh of electricity pays more than 23 euros more per month than today.