The TUR gas tariff is one of the most searched-for tariffs among consumers who want to better understand how the regulated natural gas market works. Many people have heard of it as a regulated tariff, but they are not always clear about what it means, who sets it or how it differs from a free-market tariff.
In this guide, we explain what the TUR is, what Last Resort Tariff means and how this type of natural gas supply works.
What is the TUR gas tariff?
The TUR gas tariff is the Last Resort Tariff for gas. It is a tariff regulated by the Government for certain gas consumers.
Unlike free-market tariffs, where each supplier can set its own prices and conditions, the TUR belongs to the regulated gas market. This means that its prices are updated according to an official methodology and do not depend directly on a specific commercial offer.
In other words: the TUR tariff is a regulated option for contracting natural gas under officially established conditions.
What Last Resort Rate and regulated gas market mean
TUR stands for Last Resort Rate.
The name may sound technical, but the idea is simple: it is a regulated tariff that acts as a benchmark within the natural gas supply for small consumers.
When we talk about the regulated gas market, we are referring to the system in which the price and the main conditions are not freely decided by a company, but are established by regulation.
So, if you are wondering what the Last Resort Tariff is, the short answer would be:
The Last Resort Tariff is a regulated natural gas tariff, with officially reviewed prices and available through suppliers authorised to offer it.
How the TUR gas tariff works
The TUR tariff works with a structure similar to other gas tariffs, but with regulated prices.
A gas bill with TUR usually includes two main concepts:
- fixed term, which is paid even if you do not consume gas
- variable term, which depends on the kWh of natural gas consumed
The final amount of the bill depends on household consumption and the tariff band that applies. Although in this article we focus on explaining what the TUR is, it is important to know that not all homes have the same level of consumption or use gas in the same way.
For example, a home that uses gas only for hot water does not consume the same as one that also uses it for heating.
Why the TUR tariff exists and who regulates it
The TUR tariff exists to offer a regulated option within the natural gas supply. Its goal is to provide an official price benchmark for certain consumers and prevent the entire supply from depending only on free-market offers.
The regulation of the TUR depends on the legal framework established by the Government. In addition, prices and conditions are published officially and updated periodically.
This helps consumers identify a regulated tariff and distinguish it from a free-market tariff, even though both may be linked to large energy groups.
What concepts are included in a bill with the TUR gas tariff
A bill with the TUR gas tariff includes several concepts that are worth understanding:
Fixed term
This is the part paid for having the gas supply available, even when consumption is low.
Variable term
This is the part associated with actual natural gas consumption. It is calculated based on the kWh consumed.
Regulated access tolls and charges
These are costs associated with the use of the networks and the gas system.
Taxes and meter rental
As in other energy bills, taxes and other regulated concepts may appear.
That is why, although the tariff is regulated, the final cost does not depend only on the price of the gas consumed, but also on the fixed and regulated concepts included in the bill.
Difference between the TUR gas tariff and other regulated tariffs
The TUR gas tariff should not be confused with other regulated tariffs in the energy sector, especially the electricity PVPC.
The TUR applies to natural gas. The PVPC, on the other hand, is the regulated electricity tariff and works with an energy price indexed to the wholesale market, so it can vary according to the evolution of the electricity market. In addition, since 1 June 2021, electricity access tariffs changed and supplies of less than 15 kW began to be structured with three energy periods and two power periods.
Both belong to the regulated market, but they work for different supplies:
|
Regulated tariff |
Supply |
What it regulates |
|
TUR |
Natural gas |
Regulated gas price |
|
PVPC |
Electricity |
Regulated electricity price |
This difference is important because people often talk about a “regulated tariff” in general terms, but not all regulated tariffs are the same or apply to the same supply.
Common mistakes when trying to understand what the TUR is
When looking for information about the TUR gas tariff, it is common to come across a few points of confusion.
Thinking that any company can offer the TUR
The TUR is not offered by just any free-market supplier, but by suppliers authorised to operate in the regulated market.
Confusing the regulated market with the free market
In the regulated market, the main conditions are set by regulation. In the free market, suppliers design their own offers.
Believing that TUR always means “the best tariff”
The TUR is a regulated tariff, but that does not automatically mean it is the best option for every consumer at any given time. Whether it is suitable depends on consumption, the market context and the needs of each household.
Not distinguishing between gas and electricity
The Last Resort Rate refers to natural gas. For electricity, the equivalent regulated tariff is the PVPC.
Frequently asked questions about what the TUR gas tariff is
What is the TUR?
The TUR is the Last Resort Tariff for natural gas, a tariff regulated by the Government within the regulated gas market.
What is the last resort tariff?
It is a regulated tariff whose methodology and main conditions are established officially. In natural gas, it is known as the TUR tariff.
Is the TUR tariff for gas or electricity?
Currently, when we talk about TUR, we are referring to the regulated natural gas tariff. In electricity, the regulated tariff is the PVPC.
Does the TUR tariff belong to the regulated market?
Yes. The TUR gas tariff is part of the regulated market, so its prices follow an official methodology.
Is the TUR the same as a free-market tariff?
No. The TUR is a regulated tariff. Free-market tariffs are commercial offers designed by each company.
Does the TUR natural gas tariff always have the same price?
No. The price is reviewed periodically following the methodology established by regulation.
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