Avro Energy reviews: Give your feedback

2010

https://www.dailymail.co.uk/news/article-10024511/How-Avro-Energy-propped-advanced-customer-fees-went-bust-gas-prices-spiked.html

I suppose the upside is for those of us who had been with Avro for a couple of years, we had relatively cheap energy prices.

If there is any finger pointing to be done it should be in the direction of Ofgem.

BooJewels

I manage an Avro account on a just-gone-up-for-sale estate property - so not the one I live in, so the energy use is quite low - although we have lights on random timers and the heating on with the thermostat - and I stay there periodically, so use the electric shower etc.  But out of curiosity, I worked out how much I've paid for both fuels since I took over the account, versus how much it would have cost with my own domestic suppliers and versus how much it might cost in future under a capped SVR, from a calculator someone posted elsewhere.

The amount I've saved with Avro on gas was £122 and would have been £173 more on a capped SVR, so the net difference, long term is about 50 quid more for gas.  Electric was the same, but will also be about 50 pounds more in future under a SVR.   So, thankfully, the nett difference will be about £100 worse off over the following year.  But I hope to be done with it before then.  The credit I have - depending on how that is managed - will more than cover it.  So I'm going to leave well alone and let it play out.

bd10

If there is any finger pointing to be done it should be in the direction of Ofgem.

Unbelievable that Ofgem gave a license to a dad & son operation, run out of the bedroom. If economics were indeed that simple, why did they overlook this tiny detail called hedging? If they would have hedged, they could not have offered these prices. Also, if they would have hedged, they would need credit lines or collateral for derivative contracts. Just for reference, 1 nat gas futures contract requires maintenance margins between $2k and $4k. On top of which a skilled/experienced power trader and risk manager to track exposure of their forward sales book. That's how you run a biz and the economics are not that "simple".

The FCA would not let them operate a financial services firm like that. Where was Ofgem in all that? 

Thesaltmustflow

I can't quite work it out but I'm not panicking about it just need to put brain into gear properly instead of the poor effort I'm currently putting in but If the more knowledgeable people on here can confirm it will probably save me a rake of time.

I was paying £140 DD with Avro and they had my usage on statements as £1740 (I know Avro's predicted usage is/was next to useless) but I also have usage figures I use for comparisons and these are 21000 Kwh gas and 6200 Kwh Electric. These are not my actual annual uses but they are in the ballpark and it's always worked out well in previous years and has avoided me paying a 'false' lower DD and then ending up with a big debit on my account at the end of a fix.

Anyway I have run the numbers with a few suppliers, Octopus, Sainsburys and BG and they are predicting around £250 a month!!! this doesn't make sense to me as I'm thinking SVT (north west area price cap) on my usage should equate to around £190 DD.

I'm prepared for the inevitable increase in price of units, SC etc and I can live with £50 increase per month until (hopefully) I can bag a new deal next year but £110 predicted increase per month, I don't believe I will be paying that amount more, just doesn't make sense even on my high usage.

Another thing I notice when running comparisons with the 3 I mentioned, they don't show SVT on results just daft 2-3 year fixes which as we all know are way above the price cap so won't be taking one of them any time soon.

Am I missing something here?

 

2010

Trying to find any SVR tariff actual prices is near impossible.
I did manage on BG site to find the SVR capped prices (standard) but you have to enter PAYG instead of monthly DD.

QrizB

Thesaltmustflow said:

Another thing I notice when running comparisons with the 3 I mentioned, they don't show SVT on results just daft 2-3 year fixes which as we all know are way above the price cap so won't be taking one of them any time soon.
Am I missing something here?

You are correct that your SVT for 21000 kWh gas and 6200 kWh electric works out around £2280/yr, £190/month. However suppliers are (or at least, risk) making a loss on the price-capped SVT and have stopped offering it on switching sites.

The simplest way to get the SVT is to let the SoLR take your account over.

victor2

If you use a comparison site (such as CEC), they ask you who your current supplier is. You can select the one you want to see the SVR for and say you're on their standard tariff. Run the comparison for the usage figures you have and it will show you your "current cost" along with an option to see those rates. Bit of a hassle to see more than one, but it works.

Edit: Of course the standard rates will go up on October 1st!

Thesaltmustflow

QrizB said:

Thesaltmustflow said:

Another thing I notice when running comparisons with the 3 I mentioned, they don't show SVT on results just daft 2-3 year fixes which as we all know are way above the price cap so won't be taking one of them any time soon.
Am I missing something here?

You are correct that your SVT for 21000 kWh gas and 6200 kWh electric works out around £2280/yr, £190/month. However suppliers are (or at least, risk) making a loss on the price-capped SVT and have stopped offering it on switching sites.

The simplest way to get the SVT is to let the SoLR take your account over.

That's great, appreciate it.

Like I said I can live with a £50 increase per month (don't want it but can live with it) and yes I was/am thinking just let the SoLR take over and stick with SVT for now. Trying times for those of us that can absorb the increase, God bless the ones that can't afford the increase or will struggle with the increase, hopefully prices will drop down again and soon although I fear I am dreaming with that analogy.

Thesaltmustflow

victor2 said:

If you use a comparison site (such as CEC), they ask you who your current supplier is. You can select the one you want to see the SVR for and say you're on their standard tariff. Run the comparison for the usage figures you have and it will show you your "current cost" along with an option to see those rates. Bit of a hassle to see more than one, but it works.

Edit: Of course the standard rates will go up on October 1st!

Yes I have done that, chose Avro 'simple energy' tariff and it does indeed show costs on what would have been Avro's SVT, just didn't fancy paying a £250 DD although it would appear now after getting answers I won't be paying £250 a month (well at least for this year lol) 

2010

The SVR price cap figure seems to be based on 12000kwh for gas and 2900kwh for electricity.