Energy Gas becomes cheaper in Basel-Stadt

Industriellen werke Basel (IWB) is lowering its gas prices as of October 1. The Basel government has approved the new tariffs. The price watchdog had demanded a greater reduction in prices.

The reason for the reduction is lower procurement costs following the turbulence in 2022 due to the energy crisis, as announced by IWB and the government on Tuesday. According to the Government Council, this will result in a reduction of 18 percent for the purchase of natural gas with biogas content and a reduction of 21 percent for the purchase of natural gas without biogas content.

The approval was made in the knowledge of the price monitor's recommendation, it added. He had called for a greater reduction in gas tariffs and considered the increase in gas network charges as part of the overall tariff to be unjustified. In the opinion of the price watchdog, the calculation of the gas network fees would include too high depreciation and too high a return on capital. However, the Basel government supports the IWB.

For an average household with natural gas heating and an annual consumption of 20,000 kilowatt hours, the costs will fall by 14.0 percent or CHF 462 per year, according to a statement from IWB.

As part of the tariff adjustment, IWB will increase the proportion of biogas in the standard "IWB Bio-Erdgas" tariff from 5 percent to 10 percent, it added. This will make a further contribution to reducing CO2 emissions.