You will need to account for utilities as part of your ongoing costs. Obviously this is fairly simple, you’re used to paying bills at home, however there are some nuances in the way things operate that may be different to your home country. Utility costs obviously vary considerably depending on the size of the property, its energy efficiency, and the lifestyle of the occupants. Also, as we have all learned the hard way over the last few years, energy costs are prone to fluctuation. It would be fairly meaningless for me to give a list of costs in the book, instead I am just going to give an overview of the various costs and services, and explain how you can calculate the costs when you are looking at properties.
As with IBI, A good estate agent will have copies of the most recent bills for the property on file (or at least the bills that were most recent to the property being listed with them). They don’t just hold the bills for reference. Outstanding Utility bills are the responsibility of the current home owner regardless of whether they owned the property at the time the bills were accrued. Copies of the bills are needed when the property is transferred in order to ensure that they have been paid, and that sufficient funds are retained from the seller to cover any outstanding amounts. You will be able to get a good idea of utility costs from these bills before you commit to a purchase.
Electricity
The electricity market place in Spain is liberalised and there are several providers offering various different plans and tariffs.
Whichever supplier you choose you will need to allow for fixed costs, such as metre rental and contract fees.These costs will need to be paid regardless of whether you are using the property and consuming electricity. Contracts are based on the energy that you are permitted to use at any one time, typically 3.45 Kw for small homes, 5.75kw for larger homes and 10kw for high consumers.
Try to ensure that your contract matches your needs as the higher the permitted consumption, the higher the standing charges, on the other hand, if you exceed your contracted consumption your supply will be cut until you press the reset button on the meter. If your property has air conditioning, a pool pump or electric heating it is likely that you will need to contact at least 5.75kw to avoid irritating cut outs when you try to use the microwave or kettle.
Gas
In many areas Gas is only available in bottles which are easily available from petrol stations and local shops. There are no questions asked when you take an empty bottle to exchange for a full replacement and so many people simply continue using the bottles that were left by previous owners when they purchased their property.
There are, however, advantages to obtaining a new contract in your own name. There is a small fee for the contract and a deposit payable on the canisters. An inspection of the property's gas installations is also required. If you have a contract in your own name then not only can you be confident that your installations are safe but you can also arrange for bottles to be delivered to your property. A full bottle is heavy and cumbersome and so this is a big help as you get older.
The 12.5kg canisters last a surprisingly long time when used for water heating. A couple showering once a day can expect a canister to last for at least a month. Currently the price of a bottle has been capped by the government at €19.55 however they are often cheaper.
In some areas piped gas is available however you will need to confirm where the supply is coming from, in some cases it will be a mains supply and you will need a contract directly with the gas supplier, however within some resorts and urbanisations there are large communal gas storage facilities, managed by the community which are used to distribute gas only within the resort. In that scenario you will be billed for consumption by the community.
Water, Waste and Sewage
Water Supplies, waste and Sewage are managed by the local municipality, who will be responsible for contracting service providers from the private sector. Depending on the arrangement reached by the municipality you may find that each of those services are provided by different providers. Payment periods can also vary. In my area I pay quarterly. As with electricity, you should be able to obtain a copy of the most recent bill from your estate agent.