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Attn: Scottish Power Rep

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hi

weve spoken before i would like to discuss the sudden rise in my dd based on an apparent forecast of what i will use

ive never paid this amount before with any other company so wondered where they get their figure from and if theres any way i can lower it

if you could reply would be grateful
What goes around-comes around
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Comments

  • Premier_2
    Premier_2 Posts: 15,141 Forumite
    10,000 Posts Combo Breaker
    edited 22 February 2011 at 12:29PM
    There's essentially two factors that will usually set the level of monthly DD payment.

    The first one is that they estimimate your total annual consumption cost based on the latest data they have. This is then divided by 12.
    (Any accrued credit/debit on the account should also be taken into consideration)

    The second is that some companies like to have a set annual review date (I believe SP does this in March) whereupon the aim is to have a zero account balance. This will affect those most who have joined during that year period.
    "Now to trolling as a concept. .... Personally, I've always found it a little sad that people choose to spend such a large proportion of their lives in this way but they do, and we have to deal with it." - MSE Forum Manager 6th July 2010
  • robbies_gal
    robbies_gal Posts: 7,895 Forumite
    Part of the Furniture 1,000 Posts
    well i was never told that about the march review

    i understand they have to adjust payments but to double it is ridiculous
    What goes around-comes around
  • KimYeovil
    KimYeovil Posts: 6,156 Forumite
    1,000 Posts Combo Breaker
    gabbyevs wrote: »
    i understand they have to adjust payments but to double it is ridiculous

    Why is it ridiculous? Have you actually done the sums or are you just guessing/hoping?
  • its ridiculous as the same time last year bg only put it up by ten pounds and i use the same amount roughly i dont use anymore or less than last winter
    What goes around-comes around
  • can i just ask i found my details it says im on a single rate

    so could someone explain please what this breakdown means

    what are the secondary units?

    Electricity (Primary Units) 900 kWh x Unit price 21.067p £189.60
    Electricity (Secondary Units) 5736 kWh x Unit price 8.772p £503.16
    Standing Charge £0.00
    Account Charges £0.00
    Discounts -£21.00
    VAT £33.59
    Total £705.35

    Gas 2680 kWh x Unit price 6.799p £182.21
    Gas 11619 kWh x Unit price 2.02p £234.70
    Standing Charge £0.00
    Account Charges £0.00
    Discounts -£10.00
    VAT £20.35
    Total £427.26

    Total Electricity and Gas Charges £1109.67
    Balance on your account at reassessment £318.61
    Total Charges £1451.22

    Dividing this total by 12 months shows your Direct Debit should be set at £120.91.

    Your direct debit has been set to £122.00 per month to reflect the above calculations.
    What goes around-comes around
  • macman
    macman Posts: 53,129 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Well, you have a existing debt of £319 already, so just to recover that over 12m they have to increase your DD by £26pm alone. the rest is to cover your ongoing consumption. Seems like you haven't been submitting regular readings, so your previous bills have been estimated, and now you have got a big catch up bill.
    No free lunch, and no free laptop ;)
  • i done it every month maybe i missed it once

    so it sounds right to you mac?
    What goes around-comes around
  • KimYeovil
    KimYeovil Posts: 6,156 Forumite
    1,000 Posts Combo Breaker
    edited 23 February 2011 at 12:49AM
    The single rate means you are on a standard meter, that is, not an E7 or E10 meter.

    The two tiers (secondary units) is an alternative way to collect a contribution to the standing charges from everyone - not something to worry about.

    The fact that you didn't use 'any more' (heating?) than last year would mean a substantial increase in useage (it has been colder) so you would have had a higher consumption to maintain the same use patterns.

    That is one solid whack of electricity you are using (double the national average). If you are looking to save money you should identify what it is that is eating the electricity. Do you have some form of electric heating backing up your gas?

    Note that one reason that your debit is only being bumped now rather than earlier is that previous interim reviews could have been within the boundaries of flexibility so did not trigger a change in amount. (They would have been before the winter useage kicked in.)
  • Scottish_Power
    Scottish_Power Posts: 1,263 Organisation Representative
    Hi gabbyevs

    Thank you for your query. You have been given some good advice already.

    This statement will be your annual reassessment letter and confirms to you that you are using around 6636 kWh of electricity and 14299 kWh of gas over a 12-month period. The tariff you are on is a No Standing Charge tariff which is why you have a Primary and Secondary rate.

    Your confusion is caused by you thinking that your previous payments were sufficient to cover what you are using. This was not the case as you have an outstanding balance of £318.61 on your account. Your payments therefore need to be adjusted, not only to cover your current level of consumption, but also to recover the outstanding balance on the account.

    From the information you have posted, you are using around £58.78 per month of electricity and £35.60 per month of gas (£94.38 per month combined). Like KimYeovil has said, your electricity consumption seems to be high and I would look at what you are using to see whether you can be more energy efficient. Are you using a number of electric plug in heaters when it is very cold rather than put the central heating on higher or longer?

    Knowing what you use per year for gas and electricity in kWh will help you understand the payments that will be required on your account. Make sure that your account has been billed up to accurate meter readings and that this annual reassessment has not been done on estimated readings.

    You may wish to have a look at the link below for some useful information on energy efficiency:

    http://www.scottishpower.co.uk/energy-efficiency/energy-efficiency-at-home/top-10-energy-saving-tips.aspx

    Let me know if you have any further questions and I will be happy to help.

    Kind Regards

    Colin @ ScottishPower
    Official Company Representative
    I am the official company representative of Scottish Power. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
  • thanks for the replies

    i guess its something i have to accept although dont know how im going to afford it will have to turn off the lights in future!

    will this get reviewed again 3 months?
    What goes around-comes around
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