Green.Energy - 10% extra on top ups - *Extended 1st Feb*

ivanleo

My ampere tariff is ending on 7th Feb, I wanted to go to the Pine variable tariff as it was the cheapest on the market, even cheaper than Symbio. But when I called up, apparently that tariff had been withdrawn earlier that day. What I will note is that Eversmart Energy had a similar offer where they would give a discount to anyone who paid for energy a year in advance, and within 6 months they'd gone under. A combination of raising cash advances from customers and price hikes has in the past lead to an SOLR taking over (disclaimer: past performance is not an indication of future performance). Just saying...

Greencomment

I've had confirmation by email from Green that the funds from the offer will appear in my account on or before 60 days from now, and that if I switch after that date my total credit including any credit gained through the offer would be refunded to me. Given this, my understanding is that the clause in the Terms which says if you leave Green the 'offer' is void, means if you leave Green before the offer is applied (ie within 60 days) then they won't give you the extra credit. Once the extra credit is on your account the 'offer' has been fulfilled, completed and finished and the money is yours so there is nothing left for them to void if you leave, and no grounds for them to claw the money back. On this basis I have substantially topped up my account. I do view it a risk since I agree with others above that the circumstances of this 'free money' deal appear sketchy, but only from the point of view of whether the organisation is about to go bust, not from the point of view of whether the offer is what it seems.

UnclaimedEnergy

So basically providing them with a 3 month loan at 10% interest.

They won't be doing this for accounting purposes as they filed accounts in November and their year end is 30th Nov.
Likely to do with cash-flow though, although they've been getting new customers in and increasing their revenue, this will also increase their costs.

Most customers they've gained have been won at below cost-to-serve (paying for power and network costs etc.). If they also have more customers than forecasted then they would be needing to buy additional power for them, which has increased a lot in the last 6 months.

[Deleted User]

I've dropped £1000 in for £100 bonus, I'll either be back here crying about it in a few months or enjoying an end of lockdown family meal out with my bonus!

Greencomment

Well, the company folded! Fingers crossed everyone. Credit balances should be protected but I expect it's going to be a bit of a journey to get our money (back).

BedrockFred

Greencomment said:

Well, the company folded! Fingers crossed everyone. Credit balances should be protected but I expect it's going to be a bit of a journey to get our money (back).

Are you sure, it was Green Network Energy that folded yesterday have Green. energy gone today?

poppellerant

Greencomment said:

Well, the company folded! Fingers crossed everyone. Credit balances should be protected but I expect it's going to be a bit of a journey to get our money (back).

You've got the company Green mixed up with Green Network Energy.

[Deleted User]

Offer extended again if you have missed out or want to put some more money in - 1st Feb.

JonH36

As others have speculated this is surely down to cash flow; it's a tough time for Small/Medium domestic suppliers, especially those with a good growth rate; the cold snap coupled with high system prices will be painful to bear for short positions and imbalance.

My last bill from Green (last week) was significantly higher than expected, when I looked into it there was a Actual read on my Electricity account early in January which wasn't one that I'd provided, that read was higher than the meter read I took at the end of January.  When I enquired with Green they confirmed it was a routine Data Collector read.  Naturally mistakes happen and the agent could've taken it down wrong, but I have to say the erroneous high bill coupled with the 10% offer left me a little bit suspicious!  I'd be interested to hear if anyone else has experienced this!

I've been with Green for about 18 months now and until this I've not had a problem so I do hope all is OK!

UnclaimedEnergy

JonH36 said:

As others have speculated this is surely down to cash flow; it's a tough time for Small/Medium domestic suppliers, especially those with a good growth rate; the cold snap coupled with high system prices will be painful to bear for short positions and imbalance.

I feel like the ones which aren't growing but have customers using more energy might be struggling more at the moment.

Green Network Energy had been on a steady 360k Customers for about a year without any growth, however their customers consumption went up about 30% since April. They therefore had to buy a lot more power on the more expensive prices without getting in any additional payments from new customers, which ultimately led them to running out of cash.

Green.Energy will definitely be in the same positions, however they're been active in trying to get customers to invest in them through both online funding (kickstarter maybe? I dunno) and now the 10% credit top ups. Reducing the amount of monetary payouts they would need to do if they do go bust.