Tag Archives: public ownership

The case for state ownership or control of water and electricity

As many friends know, I now live in a seaside town in Greece.

I have been reflecting on the cost of living here and, in particular, the cost of water and electricity, compared to the UK.

I have just paid my first water bill. For six months I have paid 37€. It’s not that I don’t use water, I do. I have a washing machine and a dishwasher, I clean the car, I water the garden and of course I shower and shave daily. Compare that with the £25 a month I was paying in Mytholmroyd, which I left just over a year ago. I suspect it’s gone up now.

My most recent electricity bill was 134€ for a month and the Greek government subsidies me by 159€ a month. My house is all electric with AC units which double up as heaters in the winter and there are pumps on both the cold-water supply and the solar water heating panel. My cooker is electric. I believe that were I still in the UK I would be paying around £450 a month for my previous flat. This means that electricity in 74% more expensive in the UK even if I had no subsidy in Greece. With the subsidy my electricity bill is 280% less than in the UK.

Now, Greece is not a particularly wealthy country. It recently went through a major financial crisis and much that the state had done before has been lost. Water, however, is run by local councils. In the UK water is owned by private companies and the costs are exorbitant and the directors grossly overpaid.

My electricity company in Greece DEH is the former state-owned electricity company. Yet, it is not charging grossly inflated prices and people are being helped with their electricity bills. Sure, it’s slow to act and there are power cuts sometimes (mainly due to weather like thunderstorms), but it is providing a service at affordable prices. It is clearly regulated and behaves reasonably.

The conclusion I draw from this is twofold.

Posted in Op-eds | Also tagged and | 34 Comments
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