Business electricty

lostcount
lostcount Posts: 34 Forumite
Can someone please give me a pointer.
I have recently purchased a shop with a flat above it. I am turning the shop into a coffee shop, and will live in the flat.
They both have separate electricity meters. The flat a normal one and the shop is 3 phase. I am completely renovating the building so the shop will not be open for several months. I have just had an electricity bill from SSE for the shop for £177.94 for the first month. A bit of a shock considering I am pulling out all the electrical wiring to replace it all and the power company is going to remove the 3 phase as it is not required in such a small shop. The bill was £1.87 for the power we had used over the month, £77.60 charge for available capacity and £90.00 standing charge.
I have called SSE and said this must be an error. To which they replied that's the contract you have so that's the bill.
I said that we have only just bought the place and have not signed any contracts. Along with the shop has not even started trading.
They have agreed to freeze the account until Weston power have been to remove the 3 phase supply.
My question is can I run the flat and business of the same meter or have the current 3 phase meter replace with a standard meter. Also does the business have to have a tariff with the available capacity charge.

Thanks for any help/guidance I might get.
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Comments

  • Neil_Jones
    Neil_Jones Posts: 8,912 Forumite
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    Business electricity is a different kettle of fish to domestic electricity, namely in the fact the prices are higher, contracts are longer and there are no cooling off periods, plus its harder (but not impossible) to switch providers.

    Ludicrously high standing charges are very common on business energy particularly when you're out of contract, however you will have the deemed contract which starts from the second you flick the light on. The fact the shop isn't trading is, unfortunately, irrelevant.

    If the flat and the shop are on two separate meters and the national database shows this (say, the shop is 120 Somewhere Avenue and the upstairs flat is 120a Somewhere Avenue) then you should be able to switch 120a away elsewhere in the normal way, its likely its on business energy.
  • J_B
    J_B Posts: 6,433 Forumite
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    I've just taken out three new business gas contracts with British Gas

    None has a standing charge.
  • Carrot007
    Carrot007 Posts: 4,534 Forumite
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    J_B wrote: »
    I've just taken out three new business gas contracts with British Gas

    None has a standing charge.

    Well that's one part of the contract you have given us.

    Perhaps with no standing charge there is a minimum usage requirement. Who knows.
  • footyguy
    footyguy Posts: 4,157 Forumite
    Combo Breaker First Post
    edited 9 January 2018 at 8:16PM
    lostcount wrote: »
    Can someone please give me a pointer.
    I have recently purchased a shop with a flat above it. I am turning the shop into a coffee shop, and will live in the flat.
    They both have separate electricity meters. The flat a normal one and the shop is 3 phase. I am completely renovating the building so the shop will not be open for several months. I have just had an electricity bill from SSE for the shop for £177.94 for the first month. A bit of a shock considering I am pulling out all the electrical wiring to replace it all and the power company is going to remove the 3 phase as it is not required in such a small shop. The bill was £1.87 for the power we had used over the month, £77.60 charge for available capacity and £90.00 standing charge.
    I have called SSE and said this must be an error. To which they replied that's the contract you have so that's the bill.
    I said that we have only just bought the place and have not signed any contracts. Along with the shop has not even started trading.
    They have agreed to freeze the account until Weston power have been to remove the 3 phase supply.
    My question is can I run the flat and business of the same meter or have the current 3 phase meter replace with a standard meter. Also does the business have to have a tariff with the available capacity charge.

    Thanks for any help/guidance I might get.

    I suggest you speak to the supplier

    I'm surprised you've actaully got any electricity at all if you have not agreed a contract with the supplier, but looks like they have kept you on supply.
    But you will be on the suppliers deemed tariff, and just like domestic supply, the business deemed tariff is horribly expensive usually ... as you have now discovered to your cost.

    Similarly the flat will be on the suppliers expensive standard variable tariff if you have not agreed an alternative tariff.. I'm sure you know what you need to do about that.

    Speak to a qualified electrician about any electrical changes you are considering.
    (I've no idea why you would want to change the existing set up, but it's your money to burn)

    Welcome back after almost 5 years :cool:
    Good luck!
  • lostcount
    lostcount Posts: 34 Forumite
    The building was run into the ground, and I have no idea how they were aloud to run a bakery from there. I am an engineer with 17th edition regs, and I can see that most of the wiring is not safe, and in most cases not even protected to the correct level. I am having a builder in as I will be extending out the back of the building along with the electrics having a complete overhaul.
    I guess my best bet is to phone around suppliers for the best options. It was just I had never come across the available capacity charge before on such a small building.
  • you can not use for both purposes at the same time.

    but there is possible sultion that you may get Economy 7 meter as commercial using.

    This will be cheaper deal. ;)
  • J_B
    J_B Posts: 6,433 Forumite
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    Carrot007 wrote: »
    Well that's one part of the contract you have given us.

    Perhaps with no standing charge there is a minimum usage requirement. Who knows.

    Well, the contract is 44 pages - I could upload it if you like. ;):D

    but, I can't see anything about minimum usage requirements
  • Robin9
    Robin9 Posts: 12,091 Forumite
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    Others will correct me but I don't think business contracts roll over on change of tenancy ie you can't simply inherit what the previous occupier had, you have to have a contract unique to you.
    Never pay on an estimated bill
  • Neil_Jones
    Neil_Jones Posts: 8,912 Forumite
    First Anniversary Name Dropper First Post
    Normally business contracts are tied to a business, not a person. So if Fred Bloggs signs his company up to Leccy R Us Ltd and then gets runs over by a bus on the way home that night, it won't stop somebody else in he business being able to manage the account on behalf of the business.
  • Robin9
    Robin9 Posts: 12,091 Forumite
    First Post First Anniversary Name Dropper
    Is the simplest move a transfer initially as a business supply to one of the big suppliers and then swop within them to a domestic tariff. ?
    Never pay on an estimated bill
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