Find out how to switch to a dynamic tariff at Tauron to gain full control over your electricity bills. Discover how this system works, what benefits it brings and whether it is worth using it in your home!

In the era of growing ecological and financial awareness, more and more people are looking for ways to reduce electricity costs. In response to these needs (and new legal regulations), Tauron – one of the largest energy suppliers in Poland – has introduced an offer with a dynamic tariff, which can bring real savings. But what does it really mean and how to change the tariff to dynamic? In this article, we’ll walk you through this process step by step, while explaining why this change may be beneficial.

Dynamic pricing – what is it?

The dynamic tariff at Tauron is an offer that is based on prices that change depending on quotations on the energy exchange – Towarowa Giełda Energii (Polish Power Exchange). In practice, this means that the price of electricity you pay can vary depending on the time of day and market demand. These prices depend on the so-called Day Ahead Market (DAM), i.e. a market where prices are set the day before energy delivery.

This approach differs from standard contracts, where the price per kilowatt hour (kWh) is fixed throughout the duration of the contract. With a dynamic tariff, you can benefit from lower prices at times when energy demand is lower and prices are lower, which can lead to lower electricity bills.

Why choose a dynamic tariff?

Before switching to a dynamic tariff, it is worth understanding what benefits you can derive from it. Here are the most important ones:

  • Flexibility – with a dynamic tariff, you have full control over when and how you use electricity. You can adjust your consumption to the hours when prices are lowest, which allows for real savings.
  • Possibility to reduce bills – a dynamic tariff allows you to use electricity at times when it is cheapest. If you can shift the operation of some devices to these hours (e.g. washing, charging devices), you can significantly reduce your electricity bills.
  • Automation of energy consumption – By using additional tools, such as a home energy storage facility, you can optimize your electricity consumption even better. By loading your storage at times when energy is cheapest and using it when prices are high, you can maximize savings.

Who can use the dynamic tariff?

Not every person using electricity can automatically switch to a dynamic tariff. To take advantage of this offer, you must meet several conditions:

  • Having a remote reading counter – a dynamic tariff requires accurate monitoring of energy consumption, which is only possible using a remote reading meter. Thanks to it, Tauron can accurately calculate energy consumption in individual hours.
  • Consent to the transfer of consumption data – you must consent to the Distribution System Operator (DSO) transferring profile data regarding your energy consumption to Tauron.
  • One-month billing cycle – the offer of dynamic electricity prices is available only to people who settle their accounts on a monthly basis. Other billing cycles are not compatible with this tariff.
  • Settlement in the net-billing system – The dynamic tariff is available to households settling in the net-billing system, which allows for the sale of surplus energy produced from their own sources, e.g. photovoltaic panels.

How to change the tariff to dynamic?

If you meet all the conditions listed and would like to switch to a dynamic tariff, here are the steps you need to take:

  1. Checking if you have a remote reading meter – If you are not sure whether your meter allows remote reading, you can easily check it on the Tauron website. Just enter the recipient’s number or the number of the Energy Collection Point (PPE) to obtain information whether your meter is suitable.
  2. Submitting an application for a tariff change – if you have the appropriate counter, you can proceed to order an offer with a dynamic tariff. The application is submitted online and the process itself is relatively simple. However, please remember that changing the tariff may involve additional technical verification by Tauron.
  3. Replacing the counter (if necessary) – if it turns out that your meter does not support remote reading, you will have to replace it. The meter replacement process may involve additional costs, and the implementation time depends on your operator.
  4. Acceptance of new contract terms – After submitting the application and meeting all requirements, you will receive new contract terms that will apply under the dynamic tariff. Once accepted, the new tariff will become effective from the next billing period.

What to expect from a dynamic tariff?

While dynamic pricing offers many benefits, it’s also worth being aware of some challenges that come with it:

  • Price unpredictability – One of the key aspects of a dynamic tariff is the variability of energy prices. You won’t know the exact price for your energy until your billing period ends. There may be times when prices are much higher than expected, which may impact your bill.
  • The need to monitor the market – The dynamic offer is addressed mainly to people who are ready to actively manage their energy consumption. This requires regularly monitoring energy prices on the market and adjusting your consumption to the hours when prices are lowest.
  • Changes in demand and supply – electricity prices on the DAM may depend on many factors, including weather conditions, sporting events, network failures or seasonal production of energy from renewable sources. This means that in some periods prices may be higher or lower than expected.

What are the costs associated with a dynamic tariff?

Costs in a dynamic tariff differ from standard contracts due to variable energy prices. The final energy cost is calculated based on quotations on the Day Ahead Market, to which the so-called price-setting component. This is an additional fee specified in the Price List, which affects the final price per kWh.

In addition to the cost of the energy itself, under the comprehensive agreement you will still be obliged to pay distribution fees resulting from the tariff of the Distribution System Operator (DSO). These fees are fixed and do not change depending on the dynamic tariff.

How are dynamic tariff bills calculated?

The calculation of the bill in the dynamic tariff is based on the so-called weighted average price. It is calculated by summing up energy prices at specific hours of the day and the amount of energy used, and then dividing this value by the total consumption in the billing period.

If the weighted average price is lower than the specified minimum energy price, Tauron applies the minimum rate. Thanks to this, you can be sure that you will not pay less than the specified minimum price, which protects the company against too low revenues during periods when energy prices are extremely low.

Changing the tariff to a dynamic one at Tauron is a great option for people who want to have a greater impact on their electricity bills and are ready to actively manage their energy consumption. However, it is worth remembering that such a model requires greater flexibility and readiness to monitor changes in energy prices on the market. If you meet all the conditions, have a remote reading meter and are ready to adjust your energy habits to the hours when energy is cheaper, a dynamic tariff can bring real benefits.