Npower: stealth reduction in annual discount?

east_yorkie

Npower have changed its electricity standard tariff without informing its customers. They have decided to remove the daily standing charge and instead reduce the annual discount.

The daily standing electricity charge effective from 20th August 2013 to most customers was 9.4 pence (exc VAT) per day ie approx £34 per annum as opposed to the £40 electricity annual discount. In addition the anniversary date when I normally receive a total of £100 discount from my bill falls in April so between now and next April (224 days) I will only have saved around £21 from not being charged a daily standing charge for my electricity – far short of the £40 discount normally received!

Npower have stated that the daily saving is ongoing so customers will still receive their full annual discount albeit pro-rata – I can’t see how!

I do not know of any changes to other tariffs but I will certainly be looking carefully at future bills to ensure that I have been credited with my full annual electricity discount.

Wywth

east_yorkie wrote: »

Npower have changed its electricity standard tariff without informing its customers. They have decided to remove the daily standing charge and instead reduce the annual discount.

The daily standing electricity charge effective from 20th August 2013 to most customers was 9.4 pence (exc VAT) per day ie approx £34 per annum as opposed to the £40 electricity annual discount. In addition the anniversary date when I normally receive a total of £100 discount from my bill falls in April so between now and next April (224 days) I will only have saved around £21 from not being charged a daily standing charge for my electricity – far short of the £40 discount normally received!

Npower have stated that the daily saving is ongoing so customers will still receive their full annual discount albeit pro-rata – I can’t see how!

I do not know of any changes to other tariffs but I will certainly be looking carefully at future bills to ensure that I have been credited with my full annual electricity discount.

So nPower have now removed their daily standing charge?

They only introduced it 1st May this year. Too late now ...

The £100 annual discount I guess you get for paying by DD - I thought I heard this was being withdrawn/revised so that it is not an effective early termination fee for switching mid year? i.e the discount will apply pro-rata much more frequently.

What happens if you don't pay monthly by DD? Do those customers save the daily standing charge completely? (with no change to unit rates) If so, I think that will squeeze ebico and their equipower somewhat.

Edit: looks like they have only removed the daily standing charge for those that agree to pay by DD (monthly or quarterly)

Nada666

Don't know the details of this but do not forget the regional price per kWh (and standing charge) is varied across districts but the annual discount of £105 is flat nationwide. It is understandable there may be a difference if you are in a region with a lower or higher standing charge than average.