Price Drop in LPG

Boolbar

paceinternet wrote: »

Is the "minimum period" 2 years, or defined as some other length of time?
So, if you want to change suppliers before the end of the "minimum period", you will have to pay the uplift charge. After that period, you will not have to pay it.
In fact you may not be able to terminate within that "minimum period" unless the increases are as stated.

Yes, it is a minimum 2 year contract. So it appears as I thought that they could still increase the price to whatever they want beyond the 3.5p in 6 months, but in that case I can get out of the contract (before 2 years) providing I pay the uplift charge (which they can increase at any time according to the contract, sneaky!).
At the moment I am reluctant to sign any contract, but I don't know if that is going to backfire on me at some point. At the moment the only advantage of signing is the £100 credit that they give you, the price of gas is the same. I'm wondering what they will do in September when they usually increase the price hugely (due to whatever global event they like to blame).
I live in the Norfolk Fens - does anyone know of any better company for that area?

Boolbar

HateLPG wrote: »

In reply to Boolbar:
The Competition Commission ruled that this was a major obstacle to competition (because the uplift fee would discourage users from switching suppliers), so they made a ruling that now COMPELS suppliers to transfer ownership of the tank when the customer switches. So, from April 2009, if you terminate your contract AND CHANGE TO ANOTHER SUPPLIER, your new supplier effectively "buys" the tank from your existing supplier and your existing supplier MAY NOT charge you an uplift fee.

Thanks for replying.
I knew that once any contract period (2 year) is over, you can swop without any uplift fee.
So if I terminate the contract before the minimum 2 year period is over due to an unreasonable price increase (which I am allowed to do) they cannot charge the uplift fee if I go elsewhere ? That would be fine.

frankie

Boolbar, I too went through this process of hand wringing about the contract with Calor. In the end I negotiated a price of 2p under 'normal' tariff plus the £100 bribe.

With regards the 3.5ppl issue, I figured that if Calor were to increase prices by such an amount then other suppliers would also be raising their prices too. By the time I'd faffed about changing suppliers I'd probably be no better off.

Incidently I spent quite a bit of time searching and negotiating with other suppliers before agreeing to stay with Calor. It was because I was able to quote competitor's prices that I was able to negotiate a better price from Calor.

In the end there's not that much difference between them. ie. they're all robbers and the deregulation has not helped lpg users at all.

Boolbar

frankie wrote: »

Boolbar, I too went through this process of hand wringing about the contract with Calor. In the end I negotiated a price of 2p under 'normal' tariff plus the £100 bribe.
...

Thanks for the advice. I may as well go down the same route.

HateLPG

Boolbar wrote: »

Thanks for replying.
I knew that once any contract period (2 year) is over, you can swop without any uplift fee.
So if I terminate the contract before the minimum 2 year period is over due to an unreasonable price increase (which I am allowed to do) they cannot charge the uplift fee if I go elsewhere ? That would be fine.

Yep - that's it in a nutshell! I agree that it is all a bit woolly in the contract statement that you included, as they head it "Termination at or after the end of the Minimum Period", and knowing Calor, they will try it on - but only because they think they will get away with it! If they are transferring ownership to a new supplier (which they are obliged to do if you switch), they cannot charge you an uplift fee!

One other thing to note under the Competition Commission ruling: 2 years is the maximum permitted enforceable duration for any contract, so the days of 3 or 5 year standard contracts are gone.

Calor lead me to believe that this ruling is retrospective i.e. even if you signed a 5 year contract 3 years ago, as of April 2009 it is only enforceable for a period from 2 years from the date on which the contract was signed! After that, you are free to go elsewhere!

Viking1_2

I am with Flogas but out of contract.

In fact I have never signed a contract with them as they took over my old LP ( British Gas ) contract years ago!

Over the last 12 months they have on numerous occasions tried to get me to sign a new contract offering some price reductions.

The problem is that under my existing LP contract all the underground pipework ( some 50 metres plus ) is their responsibility but the new contract they want me to sign passes that responsibility to me.

Also last year my tank was due for renewal but they refused to replace it unless I signed a new contract. Guess what? After speaking to their legal department the tank was eventually replaced with no new contract signed.

The latest development is that I am considering changing supplier and as an example Calor are offering a price of 38.9ppl with incentives in the region of £150 agreeing to honour the terms of my old LP contract if I give them a copy.

I contacted Flogas my present supplier and they said they could drop my price from 41.25ppl to 39ppl but I have to sign the new contract transfering the responsibility for the underground pipework to me.

Can they do this?

Can they force me to pay the higher price or make a reduction in price conditional?

My original contract with LG ( British Gas ) at 26ppl!!! does not mention any condition that I have to pay any premium for underground pipework and previous increases have been made just in line with market conditions.

It now appears that Flogas refuse to pass on to me any market reductions unless I sign a new inferior contract.

Can anyone advise on this please?


Also can anyone give any advice as to current prices available or the likelyhood of any decreases in the next month?

Does anyone know who are the cheapest suppliers in North Wales?

mcgillm

Guys - just moved into a house that uses LPG, tank is already installed (buried in the garden) and was supplied with gas by Flogas to the previous owner. Anyone been in this position recently that can tell me;

- Does that mean that am now free to pick any supplier?
- How do I tell if I own the tank or they do (was a British Gas tank)
- Anyone recomend a supplier (live between York and Harrogate (North Yorks))

Thanks for the help, new to LPG having moved into the countryside - looks like I'm in for a treat!

Viking1_2

If you read my post before yours ( #47) you will see that Flogas bought out British Gas some years ago so I expect you are now with Flogas.

However you have not signed a contract with them and it is likely that the previous owners will not have signed a contract within the last 2 years!

In my opinion under the new rules you should be able to go anywhere and if you decide not to use Flogas they have to sell your tank to whoever you decide to use at no cost to you.

I suggest you contact Flogas first and ask them for a quote for supply and information regarding the previous contract e.g. Tank location details, Tank Age, Length of previous contract etc.

Then shop around to get the best deal.


Good Luck!!

longforgotten

Have just left Flogas and gone to Countrywide. They came out and checked the tank, said yes to taking it over and we've signed the forms. No hassle at all so far and their price is 32p+ vat per litre.

I did give Flogas a chance but they did not want to budge on the price, over the phone that was. Then a letter arrived dropping the price by 9p but Countrywide still cheaper by a long way. :j

I hate Flogas ! :mad:

rapidoman

reading some of the notes on here l can see there is one hell of a price difference around the uk for lpg bulk gas.
Below is how l place my order with Countrywide.
l have a 2000 lit tank, they fill to 80%
Ring them for the latest price per lit (always high)
Then ring five other depots and pretend l have just moved in and could they give me a price for bulk gas. (always cheaper they want the new business)
Ring back countrywide and tell them a lower price around 1 or 2 pence below what you were quoted, they will either agree or say they car,t go that low, you then say, well to save you the time and expence of coming to remove your tank, you don,t mind paying 1 or 2 pence more, but no higher, they agree and you get your tank filled. just had 1797 lit at 35 pence per lit..
it took me 10 mins on the phone, but got the price l wanted..
regards
tony