TERRA DYNAMIC
- New Product – TERRA DYNAMIC
- Costs, risks and opportunities
- Comparaison entre Terra et TERRA DYNAMIC
- Conditions applicable to TERRA DYNAMIC
- Energy consumption price in kWh
- Appendix 1 – Network cost to the low voltage (“LV”) – fixed costs
- Appendix 2 – Network cost to the low voltage (“LV”) – variable costs
- Appendix 3 – Additionnal fixed monthly fee for access to the BT 2025 network
- Energy Premium
- Electricity tax
- Compensation Fund
- TERRA DYNAMIC contract
New Product – TERRA DYNAMIC
New product Launch
Sudstroum has launched a new power product named TERRA DYNAMIC.
This dynamic pricing product features differentiated hourly pricing. In other words, each hour is billed with a specific energy price. This product is offered to all residential or professional customers. TERRA DYNAMIC only applies to customers with a smart meter.
In accordance with the Grand Ducal Law of June 9, 2023 amending the amended law of August 1, 2007 relating to the organization of the electricity market, article 47 paragraph 5, Suppliers who have more than 15,000 end customers offer end customers equipped with a smart meter the possibility of concluding a dynamic pricing electricity contract and inform end customers of the opportunities, costs and risks linked to such a contract.
Costs, risks and opportunities
- Opportunities: TERRA DYNAMIC does not currently represent an attractive risk strategy with an attractive price. In fact, Sudstroum does not yet have systems to calculate an attractive price.
- Costs: The costs associated with TERRA DYNAMIC are higher than standard Terra or Terra Invest products. (See Energy premium)
- Risks: Sudstroum wishes to inform its customers that signing a dynamic supply contract includes a risk of volatility. This risk is connected to the market volatility, and in particular its degree of risk aversion, which mechanically influences the price. By subscribing to this product, the customer understands and accepts the inherent risk of the TERRA DYNAMIC product, which may work to his or her disadvantage.
Comparision between TERRA and TERRA DYNAMIC
Example of the volatility risk incurred by subscribing to the TERRA DYNAMIC tariff. The EPEX Day Ahead price from 11.12.2024 to 12.12.2024 from 6:00 p.m. – 7:00 p.m. was 936.28 ct/kWh. To this must be added the margin of the Sudstroum supplier which is 10.00 ct/kWh. While the TERRA tariff is set at 13.29 cents/kWh.
Conditions applicable to TERRA DYNAMIC
- Smarty meter
- Connection to the low voltage network
- The effective start date of the contract will be upon receipt of the signature. In the event of a change to the TERRA / TERRA ONLINE / TERRA INVEST / TERRA INVEST ONLINE products, the effective date will be the 1st of the month following signature.
Energy consumption price in kWh
TERRA DYNAMIC consists of the following elements:
The energy price corresponds to a variable hourly price EPEX Day Ahead (1): The EPEX price is published in hourly values and indicated in EUR/MWh. Sudstroum invoices hourly values in EUR/kWh. This Price is valid from July 1, 2024.
Additionnaly, a business margin of 10 cts/ kWh is invoiced by Sudstroum.
Appendix 1 – Network cost to the low voltage (“LV”) – fixed costs
| Reference power categories |
| Kilowatts (kW) | Network cost to the LV – fixed cost (€/year) |
| 3 | 89.04 €/year (7,42 €/month) |
| 7 | 154.08 €/year (12,84 €/month) |
| 12 | 235.32 €/year (19,61 €/month) |
| 17 | 316.68 €/year (26,39 €/month) |
| 27 | 479.28 €/year (39,94 €/month) |
| 43 | 739.44 €/year (61,62 €/month) |
| 70 | 1’178.40 €/year (98,20 €/month) |
| 100 | 1’666,20 €/year (138,85 €/month) |
| 150 | 2’479.20 €/year (206,60 €/month) |
| 200 | 3’292.20 €/year (274,35 €/month) |
Appendix 2 – Network cost to the low voltage (“LV”) – variable costs
| Reference power categories |
| Kilowatts (kW) | Quantity based fee (€/kWh) * | Surcharge for excess (€/kWh)** |
| 3 | 0.0510 | 0.0765 |
| 7 | 0.0510 | 0.0765 |
| 12 | 0.0510 | 0.0765 |
| 17 | 0.0510 | 0.0765 |
| 27 | 0.0510 | 0.0765 |
| 43 | 0.0510 | 0.0765 |
| 70 | 0.0510 | 0.0765 |
| 100 | 0.0510 | 0.0765 |
| 150 | 0.0510 | 0.0765 |
| 200 | 0.0510 | 0.0765 |
**applied additionally to the volume exceeding the reference power
Appendix 3 – Additionnal fixed monthly fee for access to the BT 2026 network
The additionnal fixed monthly fee corresponds to the rental of the smart meter.
| Voltage | Cost/ consumption 2026 |
| Intensity per phase ( low voltage) | Amount per year ( EUR/year) |
|---|---|
| 40A | 68.64 €/year (5.72 €/month) |
| 50A | 68.64 €/year (5.72 €/month) |
| 63A | 104.28 €/year (8.69 €/month) |
| 80A | 104.28 €/year (8.69 €/month) |
| 100A | 104.28 €/year (8.69 €/month) |
| 120A et plus | 355.20 €/year (29.60 €/month) |
Energy Premium
Sudstroum is forced to apply a significantly higher monthly energy premium for the TERRA DYNAMIC product. In fact, the energy premium amounts to 30.00 €/month. The higher price is due to more administrative work. In comparison, the energy premium for standard Terra Online / Terra Invest Online products is 24.00 €/year.
Electricity Tax
The electricity tax is a cost element imposed on consumers by the State. It is collected by all distributors on behalf of the state, the amount being set annually by the budgetary law.
The electricity tax was fixed in 2026 as follows:
- Category A: 0.100 Ct/ kWh (annual consumption< or = 25000 kWh)
- Category B: 0.150 Ct/ kWh (annual consumption > 25000 kWh)
Compensation fund
The compensation fund is a contribution which serves to encourage investment in the production of renewable energy or cogeneration. The compensation fund is managed by the Institut Luxembourgeois de Régulation (ILR), which sets the amount of this contribution annually. The compensation fund is a cost contribution imposed on consumers by the state.
The ILR has fixed by regulation the contribution to the compensation fund for the current year as follows:
- Category A: –0.10 ct/kWh for residential customers with an annual consumption of less than 25’000 kWh/year.
- Catégorie B: 0.15 ct/kWh for residential customers with an annual consumption over 25’000 kWh/year.