why is Economy 7 day rate higher than the std tariff

gorspenyans

I have been wondering for quite some time now, and failed badly at finding an explanation, please help!

I do not understand why I have to pay 14.69p/kwh for my E7 high/day rate power when a standard Tariff user only pays 12.83p/kwh for theirs from the same supplier? Are Economy 7 users being ripped off

HappyMJ

Sometimes this happens. What's the difference in the standing charges?

gorspenyans

edit: standing charges: end edit
12.83p std
16.43p E7

so i get done over on that to!

sorry just changed price (all posts now without VAT instead of mixed)

Mr_Man_Full_of_Love

Do what? The idea is that people who use a lot of electricity overnight get a cheap rate for doing so but obviously it has to be augmented by a higher day rate. If it wasn't higher during the day everyone would take it up as there'd be no point in not doing so.

HalloweenJack

your paying a higher day rate because you get a much lower night rate - so when your paying 6.3p per night unit (edf standard E7 price south east region) on a standard meter (NOT E7) your still paying 12.6p

gorspenyans

Ok, I think can see where you’re coming from, cant help but feel is a horrid system
I could say I don’t have a Choice but then no one made me buy a house on a gas ‘less estate.

I hate E7 I either freeze or swelter! Oh for temperature control LOL

HalloweenJack

what heaters do you have?

Mr_Man_Full_of_Love

Well, E7 isn't compulsory for you. Unless you use a large percentage of your energy overnight and/or have storage heaters you'd be better off without it.

chris1973

I do not understand why I have to pay 14.69p/kwh for my E7 high/day rate power when a standard Tariff user only pays 12.83p/kwh for theirs from the same supplier? Are Economy 7 users being ripped off

At 14.69p your tariff is pretty cheap, I pay 5.3p at E7 rates and 19p at Daytime Rates with Npower, so count your blessings!.

As you can see from my own example, the lower the price of the E7 rate the higher the daytime price!. The Electricity companies are basically natural mimics and learn from the Government, so what they essentially give with one hand they snatch back with the other.

Technically, E7 was an idea introduced to balance demand, especially as Nuclear power stations can't be turned off overnight when demand drops significantly, so E7 rates are sold cheaply in order to absorb some of that generated energy, so technically E7 heating users are doing them a favour, but it still doesn't stop them from charging a premium daytime rate in order to claw back some of the difference.

However the void between E7 rates and peak rates does seem to be widening, I remember a time when E7 was 2p and peak being around 8p, a difference of just 6p per KW/H, now on my Tariff the difference between night and day rates is almost 14p per KW/H. I can't think of any reason for that sort of difference other than 'because they can' and also because perhaps the numbers of E7 users are dropping (or maybe they've just frozen to death in front of their storage heaters!).

I also pay a seperate standing charge of around £56.00 a year, so the differences aren't due to that being included in either tariff

With the Winters being as severe as they have in the last couple of years, E7 is barely efficient for some older properties during the colder mid winter evenings when their output dwindles to virtually nothing, so most people (usually those in badly insulated / older rented properties) have to resort to using panel / convector / halogen / fan heaters for several hours, which use a lot of Electricity and of which is used at a time where it is being sold at premium prices, the Electricity companies are well aware of the shortfalls of E7 heating in some situations and are basically in a win-win situation.

I hate E7 I either freeze or swelter! Oh for temperature control LOL

I also haven't got access to Gas either, but I have changed to a modern paraffin style, purpose built invertor fan heater, which runs on standard paraffin. I use this to top up the heat during the evenings when the storage heaters are doing nothing, I also use it to take the chill off during colder late summer / autumn nights, when its milder in the day and not worth 'charging' the storage heaters up.

Sum cost of running it, is around 7p per KW/H compared to 18.85p per KW/H for Daytime Electricity from Npower, this way I keep my Daytime usage down to a bare minimum and still take advantage of the lower night time rates for running the background heating and washing machine etc.

On average I use around 55 units per night at E7 rates (60 if I use the washer / dryer) and <5 units at daytime rates, so it is still worth my while being on an E7 tariff, even if I have to continue to use paraffin based 'top up' heating to avoid using their daytime rates for running Electric Heaters.

HalloweenJack

allways turn the output to the lowest setting to conserve teh heat you have when not in the house during the day

Richie-from-the-Boro

gorspenyans wrote: »

12.83p std
16.43p E7

so i get done over on that to!

sorry just changed price (all posts now without VAT instead of mixed)

Sorry my friend I think you are [ understandably ] confused, your night can't be higher than your day and 4p between the rates is [ to me ] unheard of. Would you like to check your figures and get back and confirm !