Can Someone help with query

Hank_Marvin

Tried ringing British Gas to see if they can explain in laymans terms the reason i have not dropped down to tier 2 on my elec bill. I've posted them below to see if they're correct. As i don't understand why have i've not got any tier 2 rates applied on my latest bill?? like i have on my last bill plus all my other bills!.

Electricity you've used:
196 units from 15th sep - 22nd dec 2010

First 118 kWh x 20.656p then 26 units at 23.310p due to price increase
Next 52 kWh x 10.964p

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Electricity you've used:
152 units from 23rd dec - 14th march 2011


152 units charged at the tier 1 rate.

ps:
If the threshhold for standard tariff with BG is 180 kwh/units before dropping onto the cheaper rate, how come on my last bill i dropped down to tier 2 rate at 144 units and this is whats muddling my brain up..

KimYeovil

The number of tier 1 units for each bit are calculated daily according to how many days each portion covers.

Oops, sorry - you are correct. If the same caps were applied only 120 of the second lot should be tier 1.

(144 units over 98 days is 400 units per annum and should be 120 over 82 days.)

If it is 180 per quarter or 720 per year then it is the first half that is wrong - second part is correct.

Second edit:

Probably they have changed the tariff from 500* tier 1 units to 720 tier 1 units. But in the first part they have only charged the pre-price change length of time (hence the 400 tier 1 units). So, in fact, this glitch appears to be in your favour.

* 500? or was it 600? I can't remember.

Hank_Marvin

So, if thats the case a low usage consumer like me would have to use more units to drop down. Very unfair on a low usage customer is that. After all, we use less to get a cheaper bill. BG need to allow low usage customers a chance to drop off the higher rate..

Hank_Marvin

KIM Y Well i took this info below from BG website. This is only my 3rd bill as it's my 1st property so will leave their standard tariff shortly when i have enough usage history. Do you have to have a very good credit rating to get the best online tariff??
Electricity:
1. For single rate credit meters, Tier 1 rate applies to the first 180 kWh per quarter (or 60 kWh per month for monthly billing customers) and all subsequent consumption is charged at Tier 2.

BoltonGirl_2

The tier system was only introduced as customers didn't like the standing charge element of the bill. British Gas along with all other suppliers have to pay charges to transport the electricity around the network. The higher tier cost covers that (this used to be the standing charge) and then the additional lower tier price covers the cost of the actual fuel, tax and profit etc etc.

As a result you're probably one of BG's customers who make them zero profit and possibly costing them money because you use so little.

In all honesty, I'd be happy that you have such low bills (I wish mine were)

Hank_Marvin

Going to get in touch with Ebico and see what their flat rate per unit is. Seems they are ok compared to BG for low usage customers.

t0rt0ise

You should definitely get off the standard tariff and should never have let yourself be on it. I wouldn't wait for usage figures, I just made a guess at mine when I moved in here. I used uSwitch website and tried several different usage figures and it always came up with the same cheapest option so I went with it.

Hank_Marvin

Anyone know how long it takes to switch from BG to Ebico as i'm in middle of doing so. Their prices make BG look so expensive and should off done this ages ago. They say no standing charge and those prices are inc vat. Is there anything i don't know about that will inflate my bill's as i've not done this before??
gas 4-02 per kwh
elec 13.67 per kwh

t0rt0ise

If Ebico get their act together it should take 4 or 5 weeks. Usually it takes a bit longer for gas than electricity.