During the winter, electricity costs often increase significantly. However, in 2024 an even more significant increase is anticipated due to the implementation of Value Added Distribution (VAD). This regulation allows companies to adjust rates that had previously been frozen.
The Minister of Energy, Diego Pardow, explained that “this increase has its origin in the freezing of prices during the pandemic, These increases are necessary for the functioning of the system, they cannot continue waiting”.
When will electricity bills go up?
Agree with this, Starting July 1, consumers will experience increases in their electricity bills. These increases will also be influenced by three additional factors: the cost of energy, the cost of distribution and adjustments in transmission rates.
According to the information provided by the National Energy Commission (CNE), the increase will be based on three main components: the price of energy, which represents approximately 70% of the total and has remained unchanged since 2019; the distribution cost, which covers around 20%; and transmission charges, which constitute the remaining 10%.
Who could be the most affected
Humberto Verdejo, an academic at the University of Santiago, pointed out in an interview that the effects of These adjustments will most significantly affect to those users whose consumption and location are decisive.
In Valparaíso, those with monthly expenses less than $45 thousand will face an increase of 21%, while in Copiapó and Puerto Montt, the increase could reach 33% and 32%, respectively. For those whose expenses exceed $65 thousand, the increases will be 39% in Santiago, 51% in Copiapó and 37% in Puerto Montt.
#Chile
