Npower Price Protector - no 5% cut

briskly_2

I've just found out that Npower are not including the Price Protector tariff in their latest 5% price cuts which take place today, so prices remain the same. This seems very mischievous after announcing the price cuts earlier this year. The Price Protector terms clearly state that prices would come down if reductions were made. Anyone got any ideas about the legality this?

chanz4

Price Control Period

These terms apply from the date when we agree we will supply you under our Price Protector offer until 31st August 2012 or any earlier date on which you change your tariff or you do not meet the eligibility criteria and your Price Control Agreement ends. We call this the Price Control Period.
Our charges during the Price Control Period

During the Price Control Period our prices for electricity and gas will not exceed our standard (off-line) prices as at 28th February 2011. The only exception to this is if any charge or cost is imposed by or as a consequence of any action, order, decision or imposition by any governmental, statutory or licensing authority, and, when added to our charges at the time, this causes our prices to exceed the capped level.
If, during the Price Control Period, the prevailing npower standard (off-line) rates for electricity and/or gas fall below our standard tariff payable as at 28th February 2011 then we will charge you the lower amount.

What price are they charging you?

briskly_2

Thanks for this. I'm not sure I understand all that! I've just looked at the Npower website and it states:


"We're cutting our prices

From 1st February 2012 we’re cutting gas prices for all domestic customers on standard and capped tariffs by 5%. For an average customer on our Standard tariff this will cut their annual energy bill by £38"

Surely Price Protector is a capped tariff and so should get the reduction? I've just found out that Npower have reduced the rates for the earlier Price Protector to the one I have, but are not doing so for the PP tariff taken out on or after Aug '11. I'm currently paying 7.532/2.644 inc VAT for Gas and 17.12/13.39 inc for Electricity. No bad rates but it is the principle I'm concerned about! Npower have been very misleading here.

chanz4

It aint 100% clear

HappyMJ

briskly wrote: »

Thanks for this. I'm not sure I understand all that! I've just looked at the Npower website and it states:


"We're cutting our prices

From 1st February 2012 we’re cutting gas prices for all domestic customers on standard and capped tariffs by 5%. For an average customer on our Standard tariff this will cut their annual energy bill by £38"

Surely Price Protector is a capped tariff and so should get the reduction? I've just found out that Npower have reduced the rates for the earlier Price Protector to the one I have, but are not doing so for the PP tariff taken out on or after Aug '11. I'm currently paying 7.532/2.644 inc VAT for Gas and 17.12/13.39 inc for Electricity. No bad rates but it is the principle I'm concerned about! Npower have been very misleading here.

You are paying the same rates as me on the Npower Price Protector tariff. You could choose to go onto Npower's Standard tariff and that would cost you 8.186/2.963 and 18.554/14.511 which is 12% and 8% higher than you and I are currently paying. The standard rates need to drop by 10% and 8% to be worth leaving the Price Protector tariff. Capped means the standard rates have to drop below the Price Protector rates to have any effect.

Yolina

Your tariff is capped at the price from 28th February 2011, which is already cheaper than the price they charge after the cut on 1st February 2012.

briskly_2

Thanks for this. But surely Npower's statement implies that all capped tariffs will be reduced by 5% and as such is misleading?