Supposedly saving with EDF?

himupnorth

I'm a current dual fuel customer with British Gas. Punching my usage into the comparision sites, EDF's Online 5 tariff comes up tops for saving every time, but the sites don't allow applications via a click through. So I visit EDF's site, enter my details and it too states I will save around 15%. Then on the last bit, it states my monthly direct debit payments will be just over £100 per month per fuel. This is almost double what I'm currently paying.

Where is the saving? Am I reading this wrongly?

Premier_2

If it suggests a monthly payment of £100, then you'll have an annual bill of about £1200 based on your declared consumption.

If you are currently only paying £600 (i.e. £50 per month) and you've used the correct consumption figures, you are not currently paying enough to cover your consumption, your account will be amassing a debt and they will look to recover this in time.

When you use the comparison sites, it tells you what your annual expenditure really is based on your consumption and declared tariff (rather than what you might be currently paying monthly)

himupnorth

I currently pay £50 per month to BG for gas and I'm breaking even. I pay the same for electricity and I'm slightly in debit. The figs I inputted are from my online account details. ???

Is it sometimes the case that a company will pitch the DD high and adjust it downwards?

Windmill_Farmer

It sounds very odd, I would give them a call.
Having said that I looked into that tarrifand it seems rather dodgy, as it seems they can change the rates whenever they like, but that you are tied in for a year with only the 'guarantee' that it will be a 'assive' 2% lower than their standard tarrif, and even that does not appear to be guaranteed either.


Their standard tarrif is considerably higher than the cheap one advertised, about 25% higher.

It does seem to a bit of a pig-in-poke.

Here is the very confusing and 'nasty' small print, sure to give you a headache!!

The Online Tariff Version 5 is a variable price tariff which may be subject to
price changes in line with your energy supply terms. However, until 31 July
2010, we will ensure that the Online Tariff Version 5 unit rates are at least 2%
less than our equivalent Standard tariff unit rate. If at any time prior to 31 July
2010 our Online Tariff Version 5 unit rates become more than 2% higher than
our equivalent Standard tariff unit rate we will either:-
(a) reduce our Online Tariff Version 5 unit rate to a rate that is at least 2% less
than our equivalent Standard tariff unit rate (“Revised Rate”); or
(b) if (a) above is not possible for operational reasons, continue to apply the
existing Online Tariff Version 5 unit rates until we are operationally able to do
(a) (the intervening number of days being the Rebate Period), at which point
we will provide you with an appropriate rebate (either as a credit to your
account or through some other method).
The appropriate rebate referred to in (b) above, will be calculated by
(i) Identifying a pro-rated consumption volume for the Rebate Period based on
a typical annual consumption of 3300kwh electricity and/or 20500kwh gas –
not annual consumption (the “Rebate Consumption”)
(ii) Identifying the difference (in pence per unit) between the Online Tariff
Version 5 unit rate applied to your account during the Rebate Period and the
Revised Rate unit rate (the “Rebate Difference”)
The rebate will then be calculated by applying the Rebate Difference to the
Rebate Consumption.

Windmill_Farmer

And the 'icing on the cake'

13. We reserve the right to amend all or any part of Online Tariff Version 5 terms
and conditions at any time by publishing any such amendments on Our
website. All such changes shall take effect from the date of publication of such
change on Our website. We reserve the right to end the Online Tariff Version 5
at any time, including if We need to do so for reasons of regulatory or statutory
compliance.

So they can then change the terms and conditions without actually telling you!!

You have to monitor their website on a daily basic, something which is totally unreasonable.

Contracts such as this should be illegal, the fact they can do this shows what an utter disgrace OFGEM have proved to be.

It is totally unacceptable and proof if any further proof where needed that the energy companies hae OFGEM in their pocket IMO.

Absolutely disgraceful and unacceptable. :mad:

gwapenut

Are you actually tied in for a year or can you leave to change to another supplier? I have looked through the small print and cannot see any mention of fees / charges - however in other of their flexible tariffs, they describe "no cancellation penalty" which they do not state for this one.

So - if I leave in 6 months, anyone know of any penalties?

gwapenut

On their online saver v2, it states in "things to think about" :
If you change supplier before 30 September 2010, you may be charged a cancellation fee. The cancellation fees are £25 for electricity and £25 for gas (a total of £50 for customers with both gas and electricity accounts)

However in the same section in online tariff v5, there is no such statement. So I think I am free to move on if they become uncompetitive.

KimYeovil

Windmill, I suspect you're more of a tilter than a farmer of windmills.

I don't see anything particularly strange with their tariff. There are no cancellation penalties. You are only required to keep both your gas and electricity with them to receive the price. It is a variably priced contract but is a decent price today.

Your first quoted conditions are reasonable (and as far as I can see are in the consumer's favour.) Your second condition also seems reasonable - as far as I can see it does not supercede the consumer's option to reject alterations and change supplier and receive the previous price.

Oh, oops, I forgot, OP, just call them and they should alter the debit amount. As a new customer they can estimate instalments incorrectly. I requested and received an eighty percent reduction without any protest. (And they have an 0800 Freephone number.) (Okay, that's not quite your situation. Are you sure you did not read £100 for both fuels combined as £100 each? Run through the tariff again with your consumption in kWhs.)

Windmill_Farmer

KimYeovil wrote: »

Windmill, I suspect you're more of a tilter than a farmer of windmills.

I don't see anything particularly strange with their tariff. There are no cancellation penalties. You are only required to keep both your gas and electricity with them to receive the price. It is a variably priced contract but is a decent price today.

Your first quoted conditions are reasonable (and as far as I can see are in the consumer's favour.) Your second condition also seems reasonable - as far as I can see it does not supercede the consumer's option to reject alterations and change supplier and receive the previous price.

Oh, oops, I forgot, OP, just call them and they should alter the debit amount. As a new customer they can estimate instalments incorrectly. I requested and received an eighty percent reduction without any protest. (And they have an 0800 Freephone number.) (Okay, that's not quite your situation. Are you sure you did not read £100 for both fuels combined as £100 each? Run through the tariff again with your consumption in kWhs.)

You sound like an industry muppet defending this contract.

How can anyone defend a contract which can be changed behind your back?

6. You agree to remain on the EDF Energy Online Tariff Version 5 for each account until the Online Tariff Version 5 comes to an end, which, unless we write to you to advise of any extension, shall be 31 July 2010 (the ‘End Date’).




Further more it appears they can extend the end date so you have to stay with them forever :eek:


Anyhow as they have clause in their contract which allows them to change the conditions without notifying you this is alll academic, they can simply but in a new clause like this:
"You agreed to transfer all your worldly goods, money and posessions to us with immediate effect", and you have agreed to this :eek:

KimYeovil

Better a sassy muppet* than a delusional knight errant.

You are not shackled by the contract. Read it again and try expressing any sensible concerns less hysterically.

* Not that I am an industry muppet

gwapenut

Windmill_Farmer wrote: »

You sound like an industry muppet defending this contract.

How can anyone defend a contract which can be changed behind your back?

6. You agree to remain on the EDF Energy Online Tariff Version 5 for each account until the Online Tariff Version 5 comes to an end, which, unless we write to you to advise of any extension, shall be 31 July 2010 (the ‘End Date’).




Further more it appears they can extend the end date so you have to stay with them forever :eek:


Anyhow as they have clause in their contract which allows them to change the conditions without notifying you this is alll academic, they can simply but in a new clause like this:
"You agreed to transfer all your worldly goods, money and posessions to us with immediate effect", and you have agreed to this :eek:

Is this not to be taken in conjunction with their standard terms and conditions which give the ability to cancel any contract with 28 days notice?

What is not clear though is if you breach this tariffs conditions by cancelling the entire contract before July 2010, whether they can then deem you in breach of the conditions and back-claim at the higher "standard" rate for the entire duration of your time with them.

I am a little wary of these terms and conditions and may well cancel my migration.