Can Prepayment help save energy?

Nafi

Hi,


I am a newbie, although I have been reading this forum for years.


I am researching this topic and hopeful that some of you will take the survey. I am desperate for a quality sample group.


surveygizmo.com/s3/1803625/Msc-Survey-City-University


(I can't put a link yet. www. in front pls)



Very little research has been done on the impact of the prepayment metering in energy conservation despite the whopping 12-15% reduction in usage. I personally think, this method (tariff) is deliberately underdeveloped (With the current technology it can become an easy, quick and savvy way of managing the usage and payments) and left as an option for people with low income. Yet paradoxically, the price of the energy is higher with this tariff, despite the low operation costs for the provider.


Hope this and future researches will help us to understand the relation between the PP, consumer behaviour and energy saving.


Thanks in advance

HappyMJ

Consumers on PPM's tend to have lower means and don't have sky boxes, computers, large screen TV's or even 2nd/3rd TV's....etc...etc. So..they use less.

I really doubt a consumer spending the average amount on gas/electricity would use less if they were topping up £100 monthly rather than pay £100 a month on a direct debit.

Nafi

I agree with you, HappyMJ.


But the 15% reduction was not observed when compared to the other households with credit method. It was observed over the long period when the same sample group changed from the credit method to PPM or vice versa...

But still, it may be due to the higher price. Therefore, I have included a question asking whether people would consider PPM if it was the same price and convenient as well.

I guess it has more psychological effect, when you see how much you are using in money value...


But the research will show. Shame I can't post a link yet.

Andy_WSM

Question 9 is broken. It says you can choose more than 1 answer, when in fact, you can not.

Norman_Castle

A (high?) proportion of ppm are fitted due to debt caused by using more energy than the householder can afford. Once fitted they often include a weekly cost for debt repayment leaving little option for some than to reduce their usage. Its enforced by insufficient means.

[Deleted User]

Prepay meter users dont always tend to be the worst off in many cases. The new users I see tend to be people and families living life to the full with all the trappings of the 21 st century, the flash motors, 3d smart tvs, iphone monthly contracts for the kids, 2 foreign holidays a year etc. Only trouble is paying the gas and lecky bill is bottom of the todo list and they rack up the £2k debts eventually leading to a forced prepay fitting. Thats what I see more and more nowadays. Nice houses in nice areas with the most expensive and inconvenient meters. Another excellent reason why smart meters ( used in either prepay or credit mode ) would be a massive advantage avoiding people needlessly racking up such large debits and making suppliers spend millions on locksmiths and warrants forcably fitting them

SoletraderSteve

Prepayment is a good way of paying back debt a smaller way than you would be able to with a credit meter. It also helps you manage your consumption better, usually reducing it because you can physically see how much you are spending and know what your budget is so will usually cut back on things such as leaving lights on in rooms you are not in for example as you can see where your money is being wasted.


EDF Energy do however have a fixed price tariff for their prepayment customers now, launched recently as seen in The Sun newspaper, its called Blue+Fixed Prepay October 2016, with no nasty exit fees.

Nafi

Thank you everyone for your comments.


They are helping me a lot shedding light to some areas that I haven't thought about.


The idea of this research was born when I saw my other classmates being obsessed about their usage being on PPM, while the smartmeter was a forgotten gadget in my house after a month. (drawback effect).

Paying upfront and paying after usage have different impacts on consumer behaviour, it has been proven.


While the government is pouring millions to energy efficiency why we are neglecting this impact? Of course at its current form, it is a huge disadvantage to the consumer, although some still wilfully prefer it.


And thanks for taking the survey. The question 9 is fixed. There are some heart breaking answers from elders who are in fuel poverty, and some are hilarious, I am sure the work of a cynic moneysaver.


Please do take the survey if you haven't done so yet
surveygizmo.com/s3/1803625/Msc-Survey-City-University


Many thanks

[Deleted User]

Can t use links on here Nafi. I tried to log onto your blog also, and failed.

Nafi

Cant post a hyperlink, since I am a new user and don't have this privilege yet.


you just need to type 3 'w' and . and paste the rest of the link on the search bar surveygizmo.com/s3/1803625/Msc-Survey-City-University

Andy_WSM

Nafi wrote: »

Cant post a hyperlink, since I am a new user and don't have this privilege yet.


you just need to type 3 'w' and . and paste the rest of the link on the search bar surveygizmo.com/s3/1803625/Msc-Survey-City-University

Or someone can post it for you:

http://www.surveygizmo.com/s3/1803625/Msc-Survey-City-University