In difficult times like the ones we are still living through, we are all looking for the best way to save money. Because of the state of alarm caused by Covid-19, the government has extended the term of the rate subsidy until June 30, 2021. Below, we tell you the requirements to apply for it.
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The rate subsidy is a grant from the Government to help consumers to pay their electricity bill. The aim of this grant is to protect the most vulnerable families with fewer financial resources. A discount applied to the electricity bill meaning a reduction of between 25% and 40% for those people who have contracted power equal to or less than 10kW.
Due to the coronavirus crisis the time for applying for this grant has been extended. The extension benefits those groups who are most affected by the state of alarm.
Who can apply for the rate subsidy?
The rate subsidy is aimed at vulnerable people with few economic resources.
Who is considered to be a vulnerable person?
- Pensioners who receive the minimum pension due to retirement or permanent disability.
- Large families with 3 or more children.
- Families whose annual income falls below 11,279 Euros with no minor dependants.
- Families whose annual income falls below 15,039 Euros with one dependent child.
- Families whose income falls below 18,798 Euros with two dependent children.
- People who are unemployed.
- People whose employment contracts have been suspended and/or working hours reduced through a Temporary Employment Regulation File (ERTE).
- Business people whose working hours have been reduced because of caring or other similar circumstances which have resulted in a substantial loss of income.
People who meet the requirements mentioned above will be considered to be vulnerable and, therefore, suitable to apply for the rate subsidy.
How to apply for the rate subsidy?
There is no charge for applying for this grant. It is important to avoid any fraudulent pages that take advantage of this need and who charge money to apply for the rate subsidy. The only companies that can process this application are the electrical companies that are authorised to do so. Here is a link with a list of official suppliers.
Documents needed to apply for the rate subsidy
Documents that you have to submit to apply for the rate subsidy include:
- Complete the Rate Subsidy Form that you can get from any of the Official Suppliers included in the link given above.
- A photocopy of the holder’s Tax Identification Number of Foreigner Identification Number as well as that of the members of their family.
- Current Registration Certificate of the applicant and all the members of their family unit.
- Family book or certificate of the individual sheet of the Civil Registry.
- For large families a photocopy of the current large family certificate.
- For people in special circumstances (disabled, victims of gender violence, victims of terrorism or dependent persons) the Social Services Certificate must be submitted designated by each Autonomous Community or, where appropriate, by the competent body.
When the rate subsidy has been granted, it has a duration of 2 years after which it must be accredited that the vulnerability requirements are still met for it to be renewed. On the other hand, large families must renew the rate subsidy when the card that accredits their large family status is going to expire.
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