MSE News: Co-op cuts energy prices: will the big six follow?

Mr_Crunch

kar999 wrote: »

Isn't V2.1 post Feb 2012 Region 14 electrictiy exactly the same at 10.83?

(some other regions showing decreases)

http://www.cooperativeenergy.coop/assets/documents/price-list-v2.1.pdf

They have gone and changed the tariff file since yesterday morning!

I looked at and then downloaded this new v2.1 tariff on 20/12/2011 02:08 just after I saw the reports about a 3% decrease. I am looking at it now and it had V2.1 post-Feb 2012 Region 14 West Midlands Electricity at 11.49, up from 10.83, i.e. +6.1%. Hence my fury.

The other regions were either the same or down a bit.

I've saved the file that you provided too, just in case they change it again!! It all seems so amateurish to put up price lists which are wrong, and then change them. Unfortunately MSE does not allow sending attachments to PMs, otherwise I would send you it. So I have put the 20.12.2011 file up on a website so you can see for yourself. It has my filename, otherwise it is as downloaded. Hope it works: [link removed by Mr_Crunch 19.45 23/12/2011 because there is enough confusion about these price changes already, and this particular price list with the V2.1 Feb 1 Area 14 Electricity error only lasted a few hours]

It's quite possible that it was a mistake which they have now corrected.

kar999

Looks like they had a bit of an IT botch up there Mr Crunch!!

It's a shame my region is still the same but for others there looks to be decreases. It's shame the Big Six "cartel" show no signs of price reductions.

There's another thread where there is plenty of knocking the Coop both for Energy and in general. I cant understand why. Maybe because the Coop Energy is uncompetitive in their area but they were the cheapest for me when I switched in July and I got £50 cashback (first bill discount) which at the time was the highest anywhere. I said then that fixing wasn't on my agenda as wholesale prices were already falling and I didnt want to lock into the higher fixed term prices that the Cartel was offering.

meggsy

"Questions and answers about the price reduction announced on 19 December 2011
By how much are your prices reducing?

The average reduction is 2.5% for gas and 3.5% for electricity.

This equates to a reduction of about £35 per year for an average dual fuel consumer. The reductions apply to the unit rate; the standing charge is unchanged.

When do the new prices take effect?
The change is with effect from 1 February 2012 for all new customers and for existing customers who signed up on version 2.2 or version 3.0 of our Pioneer tariff.

What about early customers?

Before we launched to the public in May 2011, we were required by our regulator Ofgem to prove our readiness to be a national supplier. To attract our first customers, we offered a special low tariff to
members of Midcounties, our parent co-operative, and to households in the West Midlands where we are based. Those early customers will continue to enjoy their lower prices but they will not be reduced further in this current round of price changes. Their prices will still be lower than for our later customers and for all new customers who join from now on.
How will you compare with other suppliers?
Our new prices will mean that we are cheaper than the standard dual fuel tariffs of all the major suppliers in all parts of the country. We are committed to offering all our customers consistently
competitive prices.
Why are you doing this now?
Wholesale market prices have fallen in recent weeks because of the exceptionally mild Autumn. This means we can buy energy now for delivery in Spring 2012 at a lower cost. We want to pass on the
benefits to our customers straight away. We are owned by our customers so, unlike the other energy suppliers, we’re not motivated to hoard profits for remote, external investors.
Why aren’t you reducing prices immediately?
We forward buy our energy up to three months at a time so as to give us and our customers reasonable certainty. This is called “hedging”. We have already bought our energy for December and January at the higher costs which prevailed earlier in the year.
I’ve just switched to Co-operative Energy. Will I be affected?
All new customers will benefit from the reduced prices with effect from 1 February 2012.
Will my direct debit payments change?
Averaged across all regions at standard consumption rates used by energy regulator, Ofgem, which are 3,300 kWh per year for electricity and 16,500 kWh for gas.
No, not as an immediate result of this price change. We’ll continue to review all direct debit payment levels regularly to ensure they cover your consumption" etc., ...

I joined on version 2.1 and supply started end August so not affected by the price reduction, prices remain at 13.49 elec and 3.87 gas

kar999

I received the email below and my price (v2.1 July 11) isn't changing @ 10.83p kwh (I haven't got gas). Fortunately, for my area and my personal consumption, it's still cheapest tariff according to the comparison sites. The nearest LoCO2 Energy would only give savings of £5 but be more expensive net of Coop dividends received. Next nearest is Ovo at £1 more expensive.

For once I made the right call not to fix with the big six cartel, locking into their higher prices with early exit penalties, when Scottish Power increased my tariff by 40%.

Dear Customer
As one of our early customers, you are on our introductory price tariff which is lower than for customers who joined later in the year. In fact, your tariff is lower than the standard tariffs of all the major suppliers.You may have heard in the news that we are reducing our prices for some existing and new customers from 1 February 2012.

These reductions will apply to customers who joined later than you. There will not be any change to your prices but, even after we have reduced prices, you will still be paying less than these later customers. As a valued early customer, we sought to protect you from the full impact of the rise in wholesale prices this Autumn by keeping your prices down. We think it is fair to pass on savings as soon as possible to those who have borne the brunt of increased costs in the past, which is why we are lowering our prices for such customers.

At Co-operative Energy, we strongly believe in offering our customers a fair price, which makes us different from other energy suppliers. We cannot tell you what is going to happen to prices in the future, but we can promise you that we will continue to protect customers and act as fairly as possible in passing back any savings when we can.

Further information can be found on our website at www.cooperativeenergy.coop

We wish you and your families a happy Christmas and a peaceful New Year.

meggsy

This was advised by email yesterday ..
"The change is with effect from 1 February 2012 for all new customers and for existing customers who signed up on version 2.2 or version 3.0 of our Pioneer tariff"

They say today ...

"I can confirm that you are on version 2.1 as you first signed up with Cooperative Energy 21.07.2011. I can confirm that the unit prices that you will be on from the 1st February will be;
Gas; 3.77 pence per kwh.
Electricity; 12.92 pence per kwh"

A reduction then from 3.87 and 13.49 (SW region) I thought I had left confusion behind at npower ! Happy Christmas

cing0

OVO seems to be doing the same - need to get shut of some gas before the overfull gasometers explode!

http://af.reuters.com/article/energyOilNews/idAFL6E8C53YQ20120106

meggsy

cing0 wrote: »

OVO seems to be doing the same - need to get shut of some gas before the overfull gasometers explode!

http://af.reuters.com/article/energyOilNews/idAFL6E8C53YQ20120106

That is really good news

http://www.consumerfocus.org.uk/news/ovo-energy-price-cut

Bark01

meggsy wrote: »

That is really good news

http://www.consumerfocus.org.uk/news/ovo-energy-price-cut

This isn't a price decrease, they have just released a new time limited fixed product that is cheaper than its last product. OVO do not give names to their tariffs like other suppliers - this is in reality OVO Fixed Price V5 (don't know what the actual v number would be but you get my drift).

It is a few quid cheaper than anything else, but if the market is moving downwards do you really want to sign up to a short term fixed product that is competitive with the current market?

t0rt0ise

Heard a rumour on the radio that British Gas are going to drop their prices so I'm guessing the rest will follow.

BargainGalore

According the your and yours its rumoured British gas may be the first to announce price cuts based on past history and wholesale gas prices decreasing in recent times

About 25 minutes in

http://www.bbc.co.uk/iplayer/episode/b018xy2g/You_and_Yours_06_01_2012/