Think I have been overcharged by Eon

CooperWales

Hello.

I have recently swapped from Eon to BG and have noticed a considerable drop in my monthly charges. I have reviewed my old eon bills and have notced that for the first 900kwh in elec is X amount and above that its Y per year. This is the same for Gas but the threshold for hitting the lower tarrif is higher.

Now it says per year but I have noticed that every bill im being charged for both.

Should I not reach the threshold for the first say 900w per year then be chaged the lower rate.

also can anyone get me the terms and condtions for Eon Fixed Price 5.

regards

Richard Cooper

Cardew

Welcome to the forum.

The Tier1(higher price) units(kWh) are charged pro-rata per day. It is, in effect, a form of Daily Standing Charge.

So for a tariff with 900 Tier 1 units pa it works out at 2.46 per day. Thus a bill covering, say, 80 days you would be charged for 197 tier 1 units.

I can't think why you would want the 900 Tier 1 units to be the first units you use in a year? If you wanted to leave a Utility company after, say, 91 days, you would have paid for 900 high priced units instead of 225.

dogshome

There used to be 2 ways of making a fixed Standing Charge per annum
1) With the system you were are on, XX units were charged per year being at a price per annum, calculated for each day the bill covered, then with everything you used over and above the specified XX units, being charged at a lower price
This meant that in Summer when use was low, nearly all the power/gas supplied was charged at the higher rate.

2) A daily fixed Standing Charge that again was charged for each day the bill covered, as a flat fee that is the same at all times of the year.

Ofgem the regulator have decided in their campaign for simpler billing, that all tariff Standing Charges should be based on the flat daily fee system, which if you have recently Switched to BG will be the system you are on - Which means that comparisions with Eons summertime billing is a bit Apples & Pears as over a full year, making allowance for the companies different tariffs, the annual cost would be the same

CooperWales

Thankyou for your replies. Its helped put this one to bed

Former_E.ON_Company_Representative:_Malc

Hi CooperWales

Not much I can add to the advice already given by Cardew and dogshome about our charges.

The only thing I'd mention is, if you still need a copy of the terms and conditions of Fixed Price 5, just let us know. We'll be happy to send them to you.

Malc