A fixed price suits you if you want to know your budget in advance, an indexed price if you accept that your bill follows the market. There is no universal answer: the right choice depends on your risk tolerance, your budget horizon and the market context at the time of signing.
When to choose a fixed price?
Choose a fixed price if budget visibility comes first and you want to guard against rises in the supply share. You know your kWh price for the whole contract term, which makes budgeting easier. In return, you do not benefit from any market drop.
| Criterion | Fixed price | Indexed price |
|---|---|---|
| Budget visibility | Total over the contract term | Partial, follows the market |
| Market exposure | None on the supply share after signing | Both upward and downward |
| Suited profile | Tight budget, risk aversion | Ability to absorb variability |
When to choose an indexed price?
Choose an indexed price if you can absorb controlled variability, preferably with a cap. The price follows a reference index, for example wholesale electricity prices, and moves both up and down. It is a relevant option if your budget can absorb variations and you want to benefit from any market drop.
What are hybrid formulas?
Hybrid formulas combine a fixed and an indexed share, or set a fixed price with a revision clause. You can also lock in volumes gradually, in tranches, rather than all at once. The key is to align the price structure with your real ability to absorb a variation. At Eneffic, we offer fixed-price, indexed and no-commitment offers, and our team helps you choose the structure that matches your profile.
Key takeaways
A fixed price secures the budget
A known kWh price for the whole term, without benefiting from any drop.
An indexed price follows the market
Relevant if you can absorb controlled variability, especially with a cap.
Hybrid formulas spread the risk
Fixed and indexed shares, or tranche purchasing, to spread decisions over time.
