MSE News: Co-op enters energy market, but is it any good?

Former_MSE_Guy

This is the discussion thread for the following MSE News Story:

"Co-op Energy has got the go-ahead from regulator Ofgem following a two-month trial, but its tariff could be pricey ..."

Read the full story:
Co-op enters energy market, but is it any good?

johnatho

but its tariff could be pricey ..."

It is, and how long will it hold it's current tariff before it increases it?

Sunnyday

I think that i shall watch the prices with interest, i`m currently on a fixed tarrif until December with Scottish power and i do like the ease of popping in my online readings every month and getting an instant bill etc but i`m really fed up with the annual time consuming hunt for the best deal.

I know that in December i will be pushed for time and scooted onto a new (more expensive) tariff until i find a new deal and i am getting fed up with it. If Co-Ops prices remain consistent then they may well gain quite a few customers.

SD

chanz4

I wonder if its operating under its own license, or another big supplier like sainsburys energy does

Gerrard_8_lfc

Co-op energy is £240 pounds more expensive than my EDF v7 Tariff but I should switch to the because.. erm?? They say its only £240 more expensive. Thanks but no thanks.

oakhouse13

I want to hear what Co-op has to say and not just what intermediaries who speculate about other companies prices say. If you don't actually work for a company that provides gas & electricity you can speculate all you like about prices. That's what speculators do. Whether speculators as intermediaries leads to fairer lower prices I am not convinced.

In my view, the companies that actually make gas and electricity should make their prices transparent and let consumers compare and not pay for a huge switching industry to move in between them and their customers, speculating every week about prices for their own benefit.

I also think that if the actual energy companies start to communicate directly with their customers the discussion will move to using less energy because of the climate change targets. The speculators will keep running self interested stories about switching to make their commission, as long as energy companies pay them.

The Co-op entering the market is a big opportunity to change how energy companies sell to customers.

davidyates20

chanz4 wrote: »

I wonder if its operating under its own license, or another big supplier like sainsburys energy does

Co-op is operating under its own licence, unlike sainsburys and M&S who buy their energy and rebrand it and sell it on to consumers.

tecmanandy

Am I missing something? People are saying the Pioneer tariff is very poor. But I go to the comparison sites and find it is second in my list (for my consumption pattern and payment preferences) - and, since I have a coop members card would actually be above the EDF tariff once the divi is added.

It is very probable that the tariff will increase (as everyone else follows the Scottish Power increase) but they may actually be honest when they say 19% and 10% increases! Scottish power sent me an email saying ... sorry, prices going up by 19 and 10% ... and then detailed the increase in cost per kWh and the increases in individual rates actually ranged from 29 to 55% - averaging nearly 40%. This has been confirmed from the comparison sites latest figures. Of course, what SP avoided saying was that the rates were going up 19/10% AND they were effectively taking me back to standard tariff. No suggestion from them about moving from Online Saver 10 to Online Saver 14, which would go some way to reducing the increase.
The coop also say no penalties for leaving - so I can always move on if their tariffs sneak up too fast.

So what have I missed??

kar999

tecmanandy wrote: »

So what have I missed??

You haven't missed anything. I too was faced with a 40% increase from Scottish Power OS10 for my only fuel (electricity). The Coop was the second cheapest non-fixed tariff (by only £20) for me, saving £100 from (1 Aug prices) but the only one without any exit penalty. I will also get the highest cashback for a single fuel in the form of £50 off my first bill.

I didnt want to fix as I would only be locking in at higher prices rather than making any savings now. Losing out on today's fixes is the only risk I feel Im taking but it's by no means certain how much others prices will move.

Personally I'd rather have jam today, for however long it lasts (as I'm sure their prices will rise), so I've switched to the Coop in the full knowledge that I can exit for free at any time I chose if they become uncompetitive but with £50 cashback, £100 annulised savings and Coop points in my wallet.

Sue52

I too am thinking of switching to Co-Op energy, I have a Co-op card and could potentially earn £30 in points, I will get £50 cashback for joining and also they say I can save up to £400 on my bills. I have dual fuel with British Gas. I was going to fix my bills yesterday with British Gas but cancelled again, when I thought about it I would have to pay a premium of 19% from now on to fix until June 2012.

I agree with you Kar99 "I'd rather have jam today, for however long it lasts (as I'm sure their prices will rise)"

I will be asking the Co-Op when and if they intend to raise their prices.

Will post again and let the forum know.

lewisa

Having just spent 2 hours buried in Excel breaking down my current suppliers pricing, and the Co-ops, and comparing them to the figures offered by Uswitch and Gocompare, I have come to the conclusion that the comparison sites are full of crap.

I suspect it could be travesty to make such a statement on MSE about comparison websites, but before anyone villifies me, I suggest you try it for your self. Providing you have the necessary software, maths/excel ability and will power to fight through the purposefully obfuscated* pricing information presented by the big 6.


What this country needs is a Jimmy Wales type character to set up an energy price comparison website, where the data is entered by the community, validated by the community, algorithms written by the community, and policed by the community, rather than the current setup where a slew of copycat corporations all of whom are probably in bed with the energy companies fire out bad data. Come on Martin - step up to the plate and launch Martin Lewis' moneysavingcomparison.com

I'll never trust a comparison website again. Not for energy at least.

Co-op are cheap, dont trust a comparison website that says they arent.

* Scottish Powers pricing is so obfuscated that in a 20 page booklet that contains a matrix of hundreds of different prices on each page, not a single price listed in the booklet was relevent to my current tarif / location. Flabberghasted.