Ebico Misrepresentation & Low usage penalties

Bob_In_Sin

I am in the same boat and I think Ebico are being a bit economical with the truth. I am on V2 tariff right now and re-contracted to V3 ... or so I thought. Now it seems they are imposing V4 because my V2 has not expired yet. Thus I will be impacted by the minimum spend penalty. It seems I am being penalised for being single, coming up for retirement and being economical with my gas and electricity usage.:(

EnergyRookie

Bob_In_Sin wrote: »

I am in the same boat and I think Ebico are being a bit economical with the truth. I am on V2 tariff right now and re-contracted to V3 ... or so I thought. Now it seems they are imposing V4 because my V2 has not expired yet. Thus I will be impacted by the minimum spend penalty. It seems I am being penalised for being single, coming up for retirement and being economical with my gas and electricity usage.:(

I think you misunderstand the situation.

The supplier cannot impose any fixed term contract on you.
If you have not actively requested a new tariff, you will be put on Ebico's standard variable tariff. This would have been fully explained in their renewal invitation.

If you had applied for (and were accepted) for v3, then that is what you would be put on. If not, raise a complaint, and they will check their records and correct any error ... if any error has occurred.

If you had not applied for and were accepted for their v3 tariff before it was withdrawn, then you cannot now apply for it ... as it is withdrawn to new applicants.

As per the renewal notice, which is issued 49-42 days prior to the ending of your current tariff, if you apply for a new tariff, it will be effective from the date of expiry of the existing tariff (unless you negotiate a different date)

Snakey

We had a thread about the timing of switching Ebico tariffs a few weeks ago (before v4 came out, so nobody at the time knew about the minimum charge) in case this helps anybody: https://forums.moneysavingexpert.com/discussion/6048408/ebico-zero-green-fixed-v3

Puffer

Going back to my earlier posts (#8, 11), my v2 contract expires 28 Nov. I was notified by Ebico of the impending renewal on 25 Oct. That was only 34 days before expiry so significantly less than the 42-49 day window suggested and two days after v3 was apparently withdrawn.

I question whether Ebico's failure to notify at least 42 days before expiry entitles me to insist on moving to the v3 tariff that I could (and would) have selected if I had been told of it at the proper time.

GuillermoK

I too have begun a switch away from Ebico as a result of the v4 tariff.
"If your cheapest tariff is Ebico Zero Green Fixed v4, please note this has a minimum bill value of £52 a year for Electricity and £104 a year for gas, inclusive of VAT."


How any one cannot see this as a de-facto standing (if sliding) charge (SC) is beyond me, and the OPs original point is, IMHO, that Ebico's continuing claim of a SC-free tariff is misrepresentation is correct, and, in my opinion alone, false advertising.

On this last point, I have made this complaint to the Advertising Standards Authority:


"Ebico Ltd are describing their "Ebico Zero Green Fixed v4" tariff as "ZERO Standing charge" yet also stipulate a "Minimum annual bill values apply". These minimum annual bill values are "£52 a year for Electricity and £104 a year for gas, inclusive of VAT." This is a effective Standing Charge of £156 a year or £13 a month if a customer uses no energy, and therefore the "ZERO Standing charge" claim is untrue."


ASA's reply (edited):


"Thank you for contacting the ASA.

We’ve considered your complaint carefully and all the issues raised. We will keep a record of it on our system and take your views into account if we receive more complaints about this or similar issues. (my italics)

While we won’t be taking any other specific action on your complaint at this time, I want to thank you for contacting us. Complaints like yours are extremely important to us as they help us to build a picture on the issues that we should tackle.

Kind regards,

David Humber
Senior Complaints Executive"


Maybe the OP, and others of like mind, would care to make the same complaint?

Gerry1

Typically useless response from the ASA. They're just a sweetheart organisation, like all the so-called regulators.

Talldave

So a misleading advertisement is only misleading if sufficient numbers of people report it as such? Weird.

daveh18

Like others on here and the other thread. I thought I was being clever waiting until nearing the end of my v2 zero tariff and I've missed the chance of switching to the v3 zero tariff and now I’m lumbered with this sneaky v4 non-zero zero tariff.

Are there any other companies offering proper zero standing charges for gas and electric?

Someone on the other thread mentioned Utilita's Smart Energy tariff. If that involves having to get smart energy meter I'm not really interested in it. I've had a quick look on the Utilita's website and this tariffs full terms and conditions seem to be hidden, has anyone one got a direct link for them?


Thanks in advance

UnclaimedEnergy

Talldave wrote: »

So a misleading advertisement is only misleading if sufficient numbers of people report it as such? Weird.

Outfox the Market managed to get fined by the ASA in September for their 'cheapest tariffs in the UK' adverts. The adverts began in 2017 so it shows how slow a response could be.

daveh18

Here are the T&Cs for this v4 zero tariff.

ebico.org.uk/wp-content/uploads/Ebico-Zero-Additional-Terms-20191010-v1.8-FINAL.pdf

If you look at point 1.6 they don't state it explicitly, but say their minimum charges are equal to £0.14247 per day for electicity and £0.28493 per day for gas.

IMHO it's a standing charge being disguised as a minimum spend.

In this age of regulation and "transparency" I'm very suprised they are allowed to do tricks like this.

Do any other gas and electric companies have minimum spends on their tariffs?