Green levy

savetilibleed

IF the green levy does come off :cheesy:, will that reduce fixed price tariffs currently held by customers?

Bluebirdman_of_Alcathays

savetilibleed wrote: »

IF the green levy does come off :cheesy:, will that reduce fixed price tariffs currently held by customers?

I doubt it.

There is a (small) possibility the suppliers will be generous. But why should they? The consumer signed up for the fixed terms and conditions; in most instances they beat the market when prices go up. If the reverse happens.....tough?

C_Mababejive

The green levy started as a good idea but has now become a vehicle for widespread fraud and abuse.

The green levy pays for..

People on benefits working or not,to receive stuff like insulation and free central heating boilers/systems


Free boilers and insulation to upgrade landlords properties if they have a qulaifying tenant


Free insulation and boilers for people who own their own homes and have a qualifying resident


I have seen big private houses with Beemers and Mercs on the drive having thousands of bill payers money being spent on them because they have borrowed their little old ma as a resident. Needless to say, certain groups are particularly adept at maximising such schemes.

Meanwhile joe and joella muggins who work and dont qualify are freezing their collective nuts off to pay for it.


It has to stop..now..

Andy_WSM

The Government would have to be absolutely stupid (ok, ok, I know they are...) to not ENFORCE that the Utility companies made the reduction available to everyone immediately the tax is scrapped (and moved to general taxation).

savetilibleed

Andy_WSM wrote: »

The Government would have to be absolutely stupid (ok, ok, I know they are...) to not ENFORCE that the Utility companies made the reduction available to everyone immediately the tax is scrapped (and moved to general taxation).

That's my feeling from a common sense POV too, but you know how it is they (the energy providers) might argue fixed means fixed.

SnowMan

savetilibleed wrote: »

That's my feeling from a common sense POV too, but you know how it is they (the energy providers) might argue fixed means fixed.

The energy companies have said they will pass on in full the reduction if the green levy (or a component of it presumably) is moved off of bills.

So logically the energy companies would have to reduce the tariff cost for everyone (including those on fixed tariffs) or reduce the tariff costs for those on non-fixed tarriffs by more than the green levy.

Logically the energy companies would just knock the amount of all tariffs including fixed tariffs, as it is the most transparent and arguably fairest way to do it. Obviously you can't completely discount an alternative approach.

It's a good question to ask in the opening post. The discussions of whether to sign up a fix now seem to ignore this obvious point and seem to concentrate on the fixed tariffs are cheaper argument.

savetilibleed

SnowMan wrote: »

Logically the energy companies would just knock the amount of all tariffs including fixed tariffs, as it is the most transparent and arguably fairest way to do it. Obviously you can't completely discount an alternative approach.

It's a good question to ask in the opening post. The discussions of whether to sign up a fix now seem to ignore this obvious point and seem to concentrate on the fixed tariffs are cheaper argument.

I hadn't noticed before posting, but Martin has sort of covered this in his blog.
Fixed tariffs are certainly cheaper if you are on a variable tariff, especially once increases to come are added. We are on EDF Blue Price Promise April 2014. From our last consumption figures I have noted (not smack to date) have BPPApril14 at £776/year. Variable would work out £961, EDF BBPMarch15 would be £894, and their BPFMarch2017 would be £1074.

C_Mababejive

Another not insignificant point... your average gas bill has about 20% of its total which is attributable to transmission and distribution costs.

Such costs have risen over recent years due to the need for huge investment in infrastructure/replacement of aged networks.

Much of this work should have been done in annual quotas over past years i.e gradual renewal at historical costs.

Howver the grandees at OFGEM have historically starved gas networks of expenditure allowances meaning that they are now playing a massive catch up game at todays higher prices.
Meanwhile Mr Alistair Buchanan who has been at the head of the OFGEM gravy train since 2003 but recently "retired" having been paid more than £250,000 a year as well as civial service pension scheme inputs, has got himself a new job over with his old chums at KPMG.

http://www.express.co.uk/news/uk/439470/Energy-bills-soar-but-the-watchdogs-at-Ofgem-are-having-a-gas