Energy: Find the cheapest supplier & earn cashback

pemicx

energyhelpline says the capped tariff compares at -21%. As EDF has already hiked its prices, does this broadly mean that it would only be cheaper to switch to capped if there was a further 20+% rise in the winter? With oil prices dropping slowly, is this likely?

tonyhamm

From reading around, it gets madder - The UK sells its masses of gas production aboard to Europe. The big monopolies (E.On, EDF) in Europe then hang on it, and refuse to pipe it back, the pipeline is basically empty back from Europe even though the price here is far higher!

So the 'plan' which has seen us with far higher prices than Europe since 2003, seemed to be ; that we sell our own gas to Europe, then we offer far higher prices than in Europe (as can be seen on the graph) for our own gas which we sold to them in the first place and then want back in the winter! But companies like E.On are nationalistic and linked with government's not free market entities and simply refuse to sell us our gas back. The result is an empty pipeline back, and far higher electricity and gas prices here than in Europe, destroying even more of our manufacturing base through higher costs, to Europe's comparative - national - advantage! Even though the domestic price means the gas should be flooding back here!

The whole reason for this convoluted and mad system is that unlike Europe we dont have the gas storage facilties to store our own production! The seemingly rational belief in a free market with free market particpants, is not the case in monopoly/government/national agenda Europe.

This plan has prevented the UK from planning storage of more gas underground.

A particularly stupid gamble with the UK energy market, not just because Europe is plainly not working and has a nationalist adgenda with E.on/EDF etc.. no free market entities - 'The market is broken', but because any terrorist attack, or other disruption on a pipeline - yes they can explode - would spike gas prices upwards and cripple the country as our gas would run out in wait for it - 2 weeks!!!!

European countries can store masses of gas - 3 months of gas use, yet we basically can't store any!

Obvoiusly, more underground storage sites for gas capacity would bring the price down. All it takes is planning permission!

Over 2009 I expect to see the price of gas come down as these issues are tackled.

tonyhamm wrote: »

Newsnight 30/07/08
Yellow is the price of european gas. White is the price of UK gas. We can import gas from Europe whenever UK gas is more expensive. This used to act as a CEILING on UK gas prices. Now its acting as a FLOOR (the Uk Gas price is never lower than European gas). This means the market is broken.


ADAM SCORER - Energywatch
"It is this crazy linking mechanism to the oil price - oil indexing is sending gas prices so high.Its absurd" ..."We estimate gas costs (at most) 20P PER THERM, but thanks to indexing to oil its now at 100p per therm!"

http://news.bbc.co.uk/1/hi/business/7533389.stm
"The price of gas has risen in recent months as it is linked to the cost of oil, although oil prices have started to fall again in recent weeks. Energywatch described the link as "absurd".

"Only 6 big players in the energy market means they form a cartel even if they don't collude directly (to drive up prices)." - Newnight on recent report into the market.

jeff_davies_2

I've just switched from npower to a capped rate with E-on. They said that my savings over 3 years would be
£-336 !!
Can anyone explain this because I have 7 days to cancel.
thanks
jeffD

JimmyTheWig

jeff_davies wrote: »

I've just switched from npower to a capped rate with E-on. They said that my savings over 3 years would be
£-336 !!
Can anyone explain this because I have 7 days to cancel.
thanks
jeffD

I believe this means that if npower's prices don't change and neither do E-on's (after the cap) then you will be £336 worse off by doing this switch.

However, it is likely that npower's prices will go up. Depending how much they go up will determine whether this switch was worth it for you or not.

tonyhamm

I worked out that on the caps I was far worse off than the cheaper supplier (ebico) with all the supposed hikes to come factored in!

My useage is low - 3200kWh for gas, 2200kWh electricity. With higher electricity usege after the first x units, the units afterwards are usually cheaper, so there is more potential to close the gap, so maybe a cap is worth it if you believe in the huge price hikes going forwards and you consume masses of power. .

However, the UK energy market is a crazy setup, and we have been paying far higher prices than in Europe since 2003. It would not take too much regulation with the force of government to bring prices back to earth as pointed out by Energywatch.

k4psuk

[FONT=&quot]I have collated the details below for Current Energy prices. I don't know wether to go on a fixed tariff or switch to Ebico (their prices seen v low especially for gas). I'm currently on Standard British Gas with dual fuel. My current annual Usage is Electricity[/FONT] 3605KWh and Gas 19000KWh.

These are the details confirmed by these companies yesterday (all prices in pence & include VAT);

British Gas/Gas - 1st 670 kwh 7.563 then 3.814
British Gas/Elec - 1st 125kwh 25.318 then 12.104
(fixed till 30/09/11)


----

EDF/Gas - 1st 2680kwh 7.718 then 3.368
EDF/Elec - 1st 900kwh 18.170 then 11.000
(fixed till 10/09)

---

E-on/Gas - 1st 2680kwh 5.314 then 3.387
E-on/Elec - 1st 900kwh 20.769 then 11.561
(fixed till 10/09)
---


Ebico/Gas - 2.860
Ebico/Elec – 11.200
flat rates
---



Southern Electric/Gas - 1st 1143kwh 3.440 then 2.430
Southern Electric/Elec - 1st 225kwh 12.390 then 9.850
(2% cheaper than std rates fixed till 2010)

---

Scottish Power/Gas - 1st 1143kwh 4.705 then 2.910
Scottish Power/Elec – 1st225kwh 18.778 then 8.836
(fixed till 09/09)

---

Npower/Gas - 1st 4572kwh 6.975 then 2.090
Npower/Elec - 1st 728kwh 14.175 then 12.516
no price fix anymore
---




Thanks in Advance.

K4psuk

brysiewysie

Don't forget Electricity (and some companies gas) prices are regional and so your post is only for your Elec (and gas?) region

I'd go capped at the best rate you can so the SP one for you could be best (if it's still available)?

There's no crystal ball so it's often a matter of how you feel. Will you be annoyed if prices don't increase much or will capping give you peace of mind whatever happens?

zermattbusby

Well I'm totally confused ! Last Sunday 27 July I fed my figures into a comparison site Gas £806.00 P/A. Elec £575.00 P/A. It came up with a non capped saving of £320.00 P/A. British Gas duel fuel. Yesterday British Gas increase their prices. So I check again same site, low and behold it points me to British Gas duel fuel, saving £499.00 P/A :eek:

Anyone explain why this is, also this amount of saving is surely a better bet than paying an extra twelve month frozen amount of £50.00 right or wrong ?

bob_regis

I am currently in rented property and will be moving into my newly bought house in September.

What should I do. Will I be able to take my switch with me when I move?

Chrysalis

zermattbusby wrote: »

Well I'm totally confused ! Last Sunday 27 July I fed my figures into a comparison site Gas £806.00 P/A. Elec £575.00 P/A. It came up with a non capped saving of £320.00 P/A. British Gas duel fuel. Yesterday British Gas increase their prices. So I check again same site, low and behold it points me to British Gas duel fuel, saving £499.00 P/A :eek:

Anyone explain why this is, also this amount of saving is surely a better bet than paying an extra twelve month frozen amount of £50.00 right or wrong ?

Please read earlier posts, I have offered an explanation which is that the sites are not necessairly accurate.

Even if they have the correct unit prices the savings are based on usage estimates and thats based on what you have inputted so really what you should be looking at only is the cost per unit on your latest bill and the cost per unit on the comparison.

If the number is negative it isnt a saving its a increase.so eg. saving of -£100 is a increase of £100.