Scottish Power announces huge price hikes

malc_b

Has the electric rise got anything to do with solar cells on roofs? If the electricity companies are having to buy electric at more than 40p why is anyone surprised that the cost of electric has to rise to cover that? Windfarm subsides are from government I believe so they just raise our taxes.

IveSeenTheLight

J_J_Carter wrote: »

I expect lots of Scottish refugees to the warmth of the South Coast and Devon. Crivens!

More likely, if Scotland get's independance and increases their renewable energy, they'll be able to sell off the excess energy to the good people of Devon and in turn offer nationals a reduced rate.

Figuratively and futuristically speaking

Kohoutek

Graham_Devon wrote: »

Any householder....households will qualify.

Doesn't make sense?

What do you mean? I think the plan is each household can get £10,000 worth of credit.

This explains it in more detail.

Under it, authorised companies will pay for the insulation work and homeowners will repay the money, plus interest, through additional charges on their energy bills.

The government hopes people will repay loans of up to £10,000, over 25 years.

Climate change minister Greg Barker said: "The Green Deal is the government's flagship energy saving plan to transform the country's homes to make them warmer and cheaper to run.

"From next year, people will be able to access up to £10,000 upfront to pay for energy efficiency work, repaying the costs through savings on energy bills."

But the law will need to be changed so that energy firms will be obliged to collect the repayments from homeowners via their energy bills.

The law will also need to be altered so that anyone who buys after the work has been done, but before the bill has been fully paid, is obliged to take on the debt and repay it.

Kohoutek

For the cynical among us, this bit sounds open to abuse:

The firms who eventually market the Green Deal will employ assessors to estimate just how much a householder can save through various insulation or heating measures.These may include loft insulation, condensing boilers, draught proofing, solar panels and double glazing.

...

What is the attraction for the big firms that the government hopes will market the scheme?

"Companies will see it as a marketing opportunity to sell other things," said a spokeswoman for the Department of Energy and Climate Change.

chewmylegoff

markharding557 wrote: »

shortchanged wrote:I expect these hikes will be a further dampener on growth as average joe has less money after paying bills than before:(

that theory would work, if electricity production and onward sale didn't contribute to GDP.

can you guess why your theory doesn't work?

Thrugelmir

shortchanged wrote: »

are far bigger than most people anticipated.

The rises have been flagged up for a couple of months on the wholesale markets. Only now that consumer prices are being effected has it made headline news.

At some point interest rates will need to rise to strengthen the pound. Thereby making imports cheaper. The £ - Euro exchange rate is far to low.

ChiefGrasscutter

Re the Green deal.....

Ah yes....anyone who buys the property takes on the debt if it has not been paid off.
Can't see that happening.
Any purchaser with any nouse will demand the debt is eliminated at the point of sale.

and...
"Authorised companies will do the insulation work"
Code for dodgy companies will rip of someone somewhere in all of this and do crap work.

noh

Thrugelmir wrote: »

The rises have been flagged up for a couple of months on the wholesale markets. Only now that consumer prices are being effected has it made headline news.

......................

Yes. Im sure I have seen it mentioned in one of the MSE news articles. Thats why I switched to a capped tarrif with Scottish Power last week.
You dont have to live in Scotland to be supplied by them, their electricity reaches Essex, and probably all the way down to Devon too!

Graham_Devon

noh wrote: »

You dont have to live in Scotland to be supplied by them, their electricity reaches Essex, and probably all the way down to Devon too!

It does. Though you do have to wait for 36 hours before it arrives here.

kabayiri

Does this increase further undermine the argument that privatisation in utility companies is of benefit to the consumer?

A large chunk of our energy suppliers are now in foreign hands. Why should they care what the UK consumer pays long term?