MSE News: Ovo Energy to take on Economy Energy's 235,000 customers

Sterlingtimes

matelodave wrote: »

The credit got passed over to Octopus and it paid for the energy that I used whilst with them

Thank you, metelodave, this is helpful.

I have cancelled my Direct Debits with Economy. My credit should pay my bills for a couple of months. I will ask Ovo to confirm that Simpler Energy does not necessitate a direct debit set-up, and pay my bills upon invoice presentation. Ovo appears to be almost the cheapest supplier for invocing in arrears. After Economy, I look forward to the good old days when a client pays for a service that has been delivered.

jk0

Anyone seen OVO's standard rates?

Day unit rate: 18.45p per kWh
Night unit rate: 10.65p per kWh
Standing charge: 21.09p per day

Gas
Unit rate: 3.85p per kWh
Standing charge: 25.82p per day

That is 25% more for day rate, 56% more for night rate, and 28% more for gas than my Economy energy fix which was supposed to last until June 2020.


And we've not got to switch until they tip us the wink!

Sterlingtimes

jk0 wrote: »

Anyone seen OVO's standard rates?


That is 25% more for day rate, 56% more for night rate, and 28% more for gas than my Economy energy fix which was supposed to last until June 2020.


And we've not got to switch until they tip us the wink!

I am in the same boat in that my estimated annual cost will rise from £1,378 to £2,047, i.e. 48%. My tariff would have lasted until June.

But Economy Energy had offered us a false paradise in offering a fixed price well below cost, and I had to enforce the contract through legal intervention.

For a variable price tariff with payment upon receipt of bill, Ovo is around about the cheapest. For Direct Debit, there is money to be saved by moving from Ovo, but I would be concerned about a number of alternative suppliers.

Consumerist

matelodave wrote: »

. . . It can still be a mess though if your exitsing billing isn't correct or up to date or you haven't been keeping meter readings up to date. . .

If the reports on here about about fake consumption on EE accounts are anything to go by, I suspect Ovo has no idea of what it might have taken on. I think it might be wise to expect some serious delays in getting accounts sorted and serious lapses in customer service.

I don't think this is going to be pretty. :eek:

matelodave

Consumerist wrote: »

If the reports on here about about fake consumption on EE accounts are anything to go by, I suspect Ovo has no idea of what it might have taken on. I think it might be wise to expect some serious delays in getting accounts sorted and serious lapses in customer service.

I don't think this is going to be pretty. :eek:

Thats why it's a good idea to keep your own records and save all bills and statements.

When IRESA went bust they had been esimating bills despite the fact that I'd been giving them monthly readings.

However, as I had my initial meter read and keep my own weekly meter readings it was easy to present all the info to Octopus and my transfer was sorted within three weeks.

It took a lot longer to get my £6 credit back though but that wasn't a problem. Those who let the shambles continue and ramped up big credits or arrears probably didn't fare quite so well.

Sterlingtimes

Consumerist wrote: »

If the reports on here about about fake consumption on EE accounts are anything to go by, I suspect Ovo has no idea of what it might have taken on. I think it might be wise to expect some serious delays in getting accounts sorted and serious lapses in customer service.

I don't think this is going to be pretty. :eek:

The Daily Mail reports today on various alleged wrongdoing of the directors.

There is clearly a huge sum of money owing to ex-customers. The Chartered Accountant at Economy will surely have recorded that amount accurately and passed that figure through to OVO. We now know that 100,000 customers have left Economy during 2008 (Ref Daily Mail EXPOSED: Murky dealings that led to the collapse of small power firm Economy Energy). That is all before we look at extant clients. OVO will surely have negotiated with OFGEM a ceiling sum which it would cover, i.e. the cost of acquisition of a client base.

Sterlingtimes

OVO has confirmed to me that on Simpler Energy the client does not need to set-up a direct debit. There is no additional charge for paying in arrears. I have already cancelled my Economy Energy direct debits.

Consumerist

Sterlingtimes wrote: »

The Daily Mail reports today on various alleged wrongdoing of the directors.

There is clearly a huge sum of money owing to ex-customers.. . .

I would think the worry for Ovo is the possible £200 per remaining EE customer account in fake debits which Ovo might have expected to collect over the coming year but may just be a puff of smoke in reality.

We have only heard a few reports on here so hopefully it's not too widespread.

Mr.Everready

Consumerist wrote: »

We have only heard a few reports on here so hopefully it's not too widespread.

Oh, I think it's pretty wide spread. The invoices generated on the 20th December to many thousands were vastly over estimated. I was charged £497 for the month, for electricity alone ! This put my balance from a healthy credit to owing £180 instead.
IF Ovo and Ofgem used these false debit balances in their discussions, then thet're in for one all mighty shock !

Sterlingtimes

Mr.Everready wrote: »

Oh, I think it's pretty wide spread. The invoices generated on the 20th December to many thousands were vastly over estimated. I was charged £497 for the month, for electricity alone ! This put my balance from a healthy credit to owing £180 instead.
IF Ovo and Ofgem used these false debit balances in their discussions, then thet're in for one all mighty shock !

I agree, but two thirds of customers have prepayment meters, so OVO's exposure is with credit customers.