Britisg Gas Price Cuts and Estimated Readings

MikeM

Can anyone fathom out how British Gas calculate estimated bills and daily usage when there have been price decreases during the billing period?

I received my (estimated) British Gas bill recently and during this quarter there have been two price decreases.

They estimated my energy usage as:

131 kWh/day from 14 Feb to 12 March - 27 days
105 kWh/day from 12 March to 26 April - 46 days
65 kWh/day from 26 April to 15 May - 20 days

This is perhaps not unreasonable as it does tend to get warmer as the year progresses. However the energy usage is weighted at the the most expensive rates, thus extracting more money out of me !

To further complicate matters they detailed their tariff at the price change dates as below:

4.959 pence per kWh for the first 12.526 kWhs used a day and 2.801 pence per kWh for the rest.
4.398 pence per kWh for the first 12.526 kWhs used a day and 2.240 pence per kWh for the rest.
4.266 pence per kWh for the first 12.526 kWhs used a day and 2.173 pence per kWh for the rest.

So, the first 12.526 kWh rate reduced by 14% and rest by 22%

I called to query the method of calculation of usage and was not given a satisfactory answer. I then queried the 'rate per day' saying it is not possible to determine the rate that I use gas unless a daily reading is made. I certainly use more gas during the weekend when the house is occupied than during the week than when it is empty during the day.

This variable rate is actually just a daily 'standing charge' in disguise.

Unable to provide an answer I was remarkably phoned back and was told to just ignore the 'rate per day' charge ! I then gave them an 'actual' reading, received a new bill with completely differnet calculations for usage rate !

In my opinion these estimated bills are pure guesswork with British Gas guessing high every time !

Any comments ?

tripled

You are charged the higher rate for the first 1,143 kwh per quarter, and this is what is in their official tariff. This is calculated pro-rata if the billing period is shorter or longer than 91 days. Therefore it is irrelevant if some days you use less than the threshold and some more, it is averaged.

If you gave them a different reading to the estmate they have used, they will recalculate the bill and so any price change readings since your last bill.

If you are unhappy with the price change readings, perhaps in future you could try taking the readings on the day of any change and see how they compare?

MikeM

Thanks 'tripled' - your explanation was better than BG's !

A thought on Standing Charges - which we no longer pay ?

Supposing I went to the petrol station and they charged me £6.00 for the first gallon and then the standard price for the rest of the tank ?

Would we be happy ?

Or perhaps a 'charge for using the pump' of £5.00 ?

Better not suggest that, they might take up the idea !