MSE News: Eon to cut electricity bills by 6%

E.ON_Company_Rep_Chris

Hi All

Really sorry for all the uncertainty Monday’s announcement has caused.

The new prices take effect 27 February 2012 but will start to appear on our website and comparison sites from 27th January 2012.

For those of you on a SaveOnline plan, the impact of the decrease will be much clearer from then.

As it stands at the moment, your plan promises to be at least 2% lower than our standard prices. Some will already be reduced by a greater percentage so you might not see a change. Others will be reduced to bring them in line with our new standard prices (and of course maintain the minimum 2% reduction).

All of this depends on which particular version you’re on and where you live, as all our electricity prices vary by area. You’ll receive a letter to let you know your new prices effective 27th February.

If you find that your current plan is no longer suitable for you, you can switch plan at anytime without incurring a cancellation fee. All of our SaveOnline plans carry a cancellation fee if you change supplier before the contract end date.

There’s a message from our CEO on our website explaining the decrease and a list of FAQ’s that may help clarify further. I expect this to be updated as more information becomes available from next Friday.

Little we can add to this for the time being, but as always, we’ll be monitoring the forums and promise to share with you any updates as and when we get them.

Amanda

E.ON_Company_Rep_Chris

VT82 wrote: »

Wow, I managed to remember my Eon log in first time, and I actually am on SaveOnline 9 like I thought.

I take it it's good then? What do you mean by 'Tier 2'? Is this a particular tariff you're on but I'm not, or are you just showing the numbers for the units excluding the initial units?

Thanks!

Hiya VT82,

Just thought I'd clear this up about tier 2.

On SaveOnline 9 (and other tariffs) we bill you for so many units of electricity used at the primary rate or (tier 1) and then all other units used at the secondary rate or (tier 2).

There's a threshold of 900kWH a year for electricity that's charged at the primary rate and then everything you use over that is charged at the lower secondary rate.

The Ofgem average figures for single rate electricity are 3300kwh a year. So, in this case 900kwh would be at the primary rate and the remaining 2400 kWh would be charged at the lower, secondary rate. It's all worked out pro-rata though, so about 2.46 kWh per day.

If you have Economy 7 then you'll have a night rate as well.

This will all be broken down on your bill, so you can see how many kWh you have used and the unit price these have been billed at.

Hope this helps a little.

Amanda

chris1973

Well I'm not getting excited. After all the price rises, 6% won't make much difference, and they've only done it because the others have and don't want people to switch.
You wait, come Autumn they'll be announcing a price rise of 10%.

Agree 100%, some people have short memories, how quickly they forget the two increases inflicted during 2011, namely

9% on Electricity and 3% on Gas in February 2011

18.1% on Gas and 11.4% on Electricity in September 2011

And thats just two in less than a 12 month period.

So before you throw rose petals under their feet in grateful thanks look at the increases and THEN compare it with this pathetic PR stunt. In real everyday cash terms it doesn't even make a dent, they are now giving you a few pennies back in return for the extra pound they took off you last year.

The new prices take effect 27 February 2011 but will start to appear on our website and comparison sites from 27th January 2011.

Are Eon giving Deloreans away now in place of energy monitors?

Pincher

VT82 wrote: »

I take it it's good then?

What do you mean by 'Tier 2'? Is this a particular tariff you're on but I'm not, or are you just showing the numbers for the units excluding the initial units?

Go to a comparison site, and compare SaveOnline 9 to currently available tariffs. Make up your own mind about "good".

Tier 1 has a standing charge component, Tier 2 not.

StephenM_2

VT82 wrote: »

I think I switched to SaveOnline9 after something like SaveOnline2 finished. So I am not getting a cut? It was already barely a discount under the standard tariff! The a$£holes.

Makes me want to switch just to spite them.

I'm on SaveOnline9. According to a price comparison I've just run, the cheapest currently available tariff (First Utility iSave Fixed Price v1 March 2013) would cost me £66 a year more than SaveOnline9, and E.On Energy Online would cost me £214 a year extra. I wouldn't call £214 "barely a discount". Switching at the moment would be spiting myself, not them.

Pincher

StephenM wrote: »

I'm on SaveOnline9. According to a price comparison I've just run, the cheapest currently available tariff (First Utility iSave Fixed Price v1 March 2013) would cost me £66 a year more than SaveOnline9, and E.On Energy Online would cost me £214 a year extra. I wouldn't call £214 "barely a discount". Switching at the moment would be spiting myself, not them.

So direct, I was trying the leading question technique, so the patient achieves insight from within. By doing the homework for him, you are feeding a bad habit of relying on other people to think for him.

E.ON_Company_Rep_Chris

Hi everyone

Just popping back on to confirm that our electricity prices effective 27 February 2012 are now showing on our website and comparison sites.

If you're on one of our capped products or SaveOnline and not sure how you're affected; our phone advisors will now be able to let you know.

Hoping it's good news for all!

Amanda

nuttyp

I hope they manage to cut prices for the prepayment customers,,,,, i would love to have the meter exchanged but currently i must give them money to exchange it, even tho it was installed by the previous tenant. They can at least give me a decent price for the fact that a pay before they even give me any electric and gas.

Blackdog

I checked my tariff today and will be getting a 1% discount for electricity from 27 Feb 2012. Not the 6% I was hoping for from the headline reduction rate and, of course, no reduction on gas!

mysterons

Just checked my account online (saveonline 9) and the unit prices shown as in effect from 27th February 2012 are absolutely unchanged from those I paid on my December 2011 bill?