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What would YOUR ideal energy bill look like

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Former_MSE_Archna
Former_MSE_Archna Posts: 1,903 Forumite
500 Posts
edited 24 May 2011 at 8:54PM in Energy
MSE is feeding into the Ofgem probe and I'd like some quick feedback on:

A) What an easy to understand bill would like you to you

B) What you find most confusing about your energy tariff


Personally I'd like to see a 'key facts' section on every bill (not just annual statements, like you get with financial products) which explains your tariff name, discounts, exit fees and unit price.

Click reply to let me know what you think
«1345

Comments

  • Stuart_W
    Stuart_W Posts: 1,794 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    A) A clear bill for me would be:
    i) Clearly displayed FROM and TO date
    ii) Clearly displayed FROM and TO meter reading
    iii) A simple clearly displayed single unit rate
    iv) A simple clear daily standing charge rate, with the number of days the bill covers displayed clearly identified
    v) A clearly displayed freephone contact number, email and website address

    B) Nothing. I get all the above.
  • Pincher
    Pincher Posts: 6,552 Forumite
    1,000 Posts Combo Breaker
    It's the tariff structure themselves that are too complicated.

    Make standing charge compulsory and calculated daily,
    separate from the unit rate: so no Tier 1 and 2.

    So you pay for the units that you use, plus a known standing charge, and that's it.
  • Cardew
    Cardew Posts: 29,060 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Rampant Recycler
    Agree with the post above. If you understand the tariff, the bills are easy to read.
  • Plushchris
    Plushchris Posts: 3,592 Forumite
    I have to say, after changing to Ovo the bills couldnt be much clearer, hats off to them for making the bills straightforward and clear, something none of the big companies I've been with do.

    Simple standing charge/single unit rate tariff and no stupidly applied discounts (a'la BG)


    Sample.. http://www.ovoenergy.com/help-centre/reading-your-bill/
    Missing Tesco R&R since Feb '07 :A & now a "Tesco veteran" apparently! ;)
  • jd87
    jd87 Posts: 2,345 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    When it gives your account balance it normally says things like "£42.27 credit" or "£42.47 debit".

    People often don't know which one is the good one. It should just say "we owe you £x" or "you owe us £x", with an explanatory note saying no extra payment is needed at this time or something.

    I also believe that simplifying bills needs to start with simplifying the tariffs themselves.
  • asbokid
    asbokid Posts: 2,008 Forumite
    an explanation on the same page as the unit cost and usage of gas, of how to calculate the price (calorific value, pressure multiplier, and all garbage).. the formula shouldn't be on a separate sheet (or even worse, on the back of the page showing the usage). it's important to have clear information for checking estimated readings, and to discover how the accuracy of the estimate affects the overall bill at that stage.
  • moonrakerz
    moonrakerz Posts: 8,650 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    How about a blindingly simple pricing structure which will HAVE to be followed by all energy suppliers ?

    When I drive down the road I can see at a glance that Tesco's petrol is cheaper than the Esso garage round the corner.

    I don't have to work out how much petrol I am going to use over the next 12 months.
    I don't have to pay a standing charge when I drive onto their forecourt.
    I don't pay a higher price for the first two gallons when I fill the tank.
    I don't have to work out if it is cheaper to buy my petrol at a much reduced rate at night and pay more per gallon during the day.
    I don't have to agree to buy all my petrol from Tesco for the next 12 months.

    I find it hard to believe that ANYONE could come up with a more confusing way of pricing energy than that used in the UK at the moment - it is just completely bonkers !!!

    My "starter for 10".
    A daily standing charge and ONE single price per kWh from all suppliers.

    Sorry I must go now, just seen a pink animal with a curly tail fly by my window.......................
  • seafarers_wife
    seafarers_wife Posts: 2,154 Forumite
    prepayment statements to be alot clearer. i work for a utility company and one of the most frequent calls is customers not understanding their statements as to them it looks they they are getting a bill or we owe them money when in fact its just how the statement is produced. to be honest i only understand the statements because i look at them on a daily basis and had a couple of days training soley on statements and how they are worked out so how is the average customer ment to understand them.
  • intermynan
    intermynan Posts: 57 Forumite
    Pincher wrote: »
    It's the tariff structure themselves that are too complicated.

    Make standing charge compulsory and calculated daily,
    separate from the unit rate: so no Tier 1 and 2.

    So you pay for the units that you use, plus a known standing charge, and that's it.

    Well no...I disagree.

    I prefer T1 and T2 rates. It's not hard to understand.
    Plus, with a standing charge, you will always have something to pay. At least with no standing charge, but a T1/T2 system, if you go away and use no energy for 3 months, then you pay nothing.

    Easy.
    Let us create a better world for the next generation.

    :beer:
  • Cardew
    Cardew Posts: 29,060 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Rampant Recycler
    intermynan wrote: »
    Well no...I disagree.

    I prefer T1 and T2 rates. It's not hard to understand.
    Plus, with a standing charge, you will always have something to pay. At least with no standing charge, but a T1/T2 system, if you go away and use no energy for 3 months, then you pay nothing.

    Easy.

    Agreed that the Tier system is not difficult(and as you say is an advantage for those who use litlle/no gas in summer)

    However it is the different ways discounts are applied that make it different to follow - I get 26% at the moment. for a combination of paperless, internet, dual fuel and direct debit.

    Some apply discounts after 12 months, some not on last bill, some charge VAT on the final total, others include VAT in the unit prices.
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