EBICO prepayment Electricity supply

JonLea

My wife and I own a flat which we are renovating (gradually). We work on the flat every other weekend, and as a result use only a sparing amount of electricity.

When we bought the flat it was fitted with a prepayment meter, and we have elected to stay on a prepayment tariff as this suits our future plans for the flat.

We swapped to EBICO's zero atanding charge prepayment tariff some months ago, and thought we had found a tariff which really suited our needs. . . . until they elected to part company with SSE. SSE have written to us saying that we will be transferred to their standard prepayemtn tariff, under a "deemed contract", which will more than triple our annual electricity costs.

Our existing tariff expires late August. I can't find any alternative tariff which is as good for us as the EBICO one we are being forced out of. There are other zero standing charge tariffs, but they have significantly higher unit costs.

What I am considering is to add a substantial amount of credit to the meter towards the end of our existing tariff period (I understand most prepayment meters can hold around £250 credit) which I plan to continue to use after the EBICO tariff ceases and gets transferred to SSE. My idea then is that this gives us a fixed tariff until this credit runs out as long as we don't insert our SSE Payment Key into the meter.

Are there any pitfalls in this which will cause this strategy to fail?

trickytree1963

Ebico ended their Zero SC for PAYG back In February 2017, you didn't switch to RHE/Ebico when they ended their supply arrangement with SSE in March 2017 so your PAYG has been with SSE for a while. I cant see how your plan will work as SSE will deduct the Daily standing charge from August. If you are using a sparing amount of electricity why not switch to a PAYG supplier with a Zero SC?

As an alternative why not ask if SSE will install a credit meter? Then if they do , switch to a Zero SC Credit Tariff?

footyguy

trickytree1963 wrote: »

... If you are using a sparing amount of electricity why not switch to a PAYG supplier with a Zero SC? ...

I don't think there are any.

Following the introduction of capped tariffs, it is no longer financially viable to offer zero SC tariffs for PPM customers. That is why Ebico had to stop, and presumably why SSE are now pulling the plug.

Globtrot4

I also understand this issue because my Utility arrangement with Ebico was also turned upside down by the arrival of a letter from SSE stating that the partnership was coming to an end on 21 August, (give or take a few days )
The letter outlined that a new cost projection beginning on 21 August based on my current annual usage to be supplied by SSE as being £201.52 more expensive for my gas and electricity each year.
Despite a price cap set by OFGEM earlier this year, the supplier SSE has cunningly (in my own view) managed to recoup customers, by transferring all remaining existing EBICO customers who did not sign up for the Robin Hood tariff to their own Higher and excessive SSE prepayment tariff.
The SSE STANDING CHARGE OF 30.28 PENCE PER DAY is the exact same excessive tariff that I had originally joined Ebico to avoid paying.
The best alternative for electricity supply I can find for my own purposes using the MSE Energy Club comparison tool is with Spark Energy at an extra cost of around £48.00 per year in the main due to a daily standing charge of 14.70 pence per day. (half the SSE rate).

In my particular area the Spark Protected (until June 2018) it has a Pay as you go Unit rate of 15.43 pence per kWh and a Standing charge of 14.70 pence per day

I find it ironic that I am using the MSE comparison tool to find the lowest additional cost that I shall pay as opposed to finding a cheaper tariff.
Having said that I do accept that according to current published tariffs available there is no similar priced pre-payment tariff with a zero daily standing charge that I can switch across to.

footyguy

Globtrot4 wrote: »

I also understand this issue because my Utility arrangement with Ebico was also turned upside down by the arrival of a letter from SSE stating that the partnership was coming to an end on 21 August, (give or take a few days )
....

Wecome to MSE! :hello: :cool:

Surely you were first made aware way back in March when Ebico informed their then customers that

SSE has closed Equigas/Equipower to new sales and tariff will be coming to an end...

So you've been on borrowed time since if you failed to heed that and further advice given then by Ebico all those months ago.

SpotlandRules

Not that I like them, as they have a two tier system, but Utilita are PP and also have no standing charge.

Globtrot4

I wish it had been as straight forward as you suggest.
A contradictory letter had been produced 6 months ago both by Ebico and SSE.
The final letter dated 10 July 2017 is the first letter which stated categorically that my energy account was moving to the SSE Standard Tariff.
Whilst Ebico did send out a letter notifying customers about the new Robin Hood tariff, they did also indicate the existing tariff would be in force for the forseeable future. A quick check revealed that the tariff I had signed up for was originally intended to be valid until December 2017. I decided that it was therefore better to wait and stay with the current tariff for as long as it was in force. Thus, the result being that I will have saved money each month for what you might well classify as being an extended 6 month period.
Now that SSE have written an official letter of notification the time arrived to use the MSE Energy club tool comparison.
Although I may well have been on borrowed time as you put it. Back 6 months ago Ebico at that particular time were not in a position to anticipate the pricing strategy that SSE would finally adopt. No indeed were SSE themselves.
I am happy to have benefited a while longer from an exceptional Ebico pricing tariff and have now put in place and arranged in advance for a switch over to 2 separate utility suppliers with lower pricing prior to the implementation of the higher SSE tariff.

JonLea

We were lead to believe that the tariff would continue, and anyway EBICO / RHE had no Zero Standing Charge tariff for prepayment meters on offer back in Feb 16. As I said in the original post, I want to keep the prepayment meter, at least for now. The crux of my question was for someone (who knows more than me) to confirm my suspicion that a (non smart) prepayment meter only gets new unit cost and standing charge data from downloaded data from a payment key, and that it happily lives of the previous credit until a new suppliers payment key gets inserted for the first time. Can anyone confirm this?

Globtrot4

I would not advise you or anyone for that matter to do nothing. SSE has already stated that the move to the new tariff will happen automatically within their computerised system. On switchover day, you will know soon enough because the displays on the meter will always show you the rates you’re being charged.
Even if your suspicion were to be correct, If you continued not to remove the key or card to top up after the increased tariff rate with a daily standing charge took effect, SSE will most very likely realise the anomaly after an initial period of time and then proceed to deduct any amount owed for the difference directly from the meter.

EachPenny

Globtrot4 wrote: »

I also understand this issue because my Utility arrangement with Ebico was also turned upside down by the arrival of a letter from SSE stating that the partnership was coming to an end on 21 August, (give or take a few days )

...by transferring all remaining existing EBICO customers who did not sign up for the Robin Hood tariff to their own Higher and excessive SSE prepayment tariff.

There is no partnership between Ebico and SSE, it ended back in March. Customers had the choice of joining Ebico/RHE or else becoming a 'full' SSE customer with no further involvement of Ebico in the relationship between the customer and SSE.

If any former Ebico customers hadn't signed up to the Ebico/RHE arrangement then they ceased being Ebico customers back in March. There are no longer any 'existing' Ebico customers being supplied by SSE. SSE are supplying some ex-Ebico customers.

Globtrot4 wrote: »

I wish it had been as straight forward as you suggest.

We all wish it had been more straightforward, but the situation is as footyguy stated.

Globtrot4 wrote: »

A contradictory letter had been produced 6 months ago both by Ebico and SSE.
The final letter dated 10 July 2017 is the first letter which stated categorically that my energy account was moving to the SSE Standard Tariff.
Whilst Ebico did send out a letter notifying customers about the new Robin Hood tariff, they did also indicate the existing tariff would be in force for the forseeable future. A quick check revealed that the tariff I had signed up for was originally intended to be valid until December 2017. I decided that it was therefore better to wait and stay with the current tariff for as long as it was in force. Thus, the result being that I will have saved money each month for what you might well classify as being an extended 6 month period.
Now that SSE have written an official letter of notification the time arrived to use the MSE Energy club tool comparison.
Although I may well have been on borrowed time as you put it. Back 6 months ago Ebico at that particular time were not in a position to anticipate the pricing strategy that SSE would finally adopt. No indeed were SSE themselves.
I am happy to have benefited a while longer from an exceptional Ebico pricing tariff and have now put in place and arranged in advance for a switch over to 2 separate utility suppliers with lower pricing prior to the implementation of the higher SSE tariff.

It actually sounds like you were sent entirely different letters to other customers. The only promise made in relation to December 2017 was the new Ebico/RHE arrangement fixing reduced standard prices until then.

The old Ebico/SSE tariff became the responsibility of SSE - Ebico made no promises in relation to that (how could they, as they aren't the supplier) and any promises made in relation to the old tariff (affecting customers like yourself) would have been made by SSE.

Xbigman

As far as I am aware if you buy credit for a prepayment meter it is just that, an amount of money in credit. It is not a guarantee of a tariff. Once a new tariff starts you are on that tariff. When the energy company eventually reads the meter they will work back the bill to the date the tariff started and charge you accordingly.



Darren