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MSE Guide - Electric vehicle energy tariffs

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  • Hi, not directly related to this but hoping I don't get too much abuse for posting this here.
    More interesting than the tarrifs for domestic energy, why is it that a single sector are exempt from compliance with the energy price cap? I'm specifically looking at why people who sell electricity through little boxes at the roadside (EV chargers) are allowed to charge whatever they want for electricity.

    Would it be possible for MSE to champion a campaign to regulate the shocking prices charged (no pun intented) for commercial EV charges.
    A starting point of suggesting tieing them to the energy price cap would undoubtedly get their attention.

    If their prices weren't so utterly outrageous they would get far more custom, and normal people wouldn't be funding people who get company fuel cards. That's just before anyone tells me I have a choice - if I don't like the price don't use them - we're all paying the rate indirectly in the elevated costs of goods and services (caused by people charging at fast chargers because they don't care because they aren't paying for it).

    Mini rant over
    😀 
  • Gerry1
    Gerry1 Posts: 10,848 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    There are two problems.
    • VAT on electricity supplied by roadside chargers is 20% rather than the 5% charged on domestic supplies.  If the government were serious about net zero they'd make it 5%.
    • If the price cap applied to roadside chargers no new ones would be installed, and existing ones would soon go the way of phone boxes.  The modest profit allowed would not pay for the installation and running costs.
    In reality these are the good old days: the loss of fuel duty will not be tolerated forever.  When most people have EVs the electricity they use will have fuel duty imposed, whether charged at home or at roadside chargers.
  • mmmmikey
    mmmmikey Posts: 2,332 Forumite
    Part of the Furniture 1,000 Posts Homepage Hero Name Dropper
    In addition to @gerry1 points, when you buy electricity at an EV charging point, you're not just paying for electricity. You're also paying for the installation and maintenance of the infrastructure that delivers it - i.e. the charging point itself. And the electricity you buy will often be at peak/daytime rates rather than cheap/night rates which has to be factored in.

    With relation to tax more generally have you seen what's happening to car tax for EVs and high-value cars in a couple of weeks time - ouch!
  • Gerry1
    Gerry1 Posts: 10,848 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    mmmmikey said:
    With relation to tax more generally have you seen what's happening to car tax for EVs and high-value cars in a couple of weeks time - ouch!
    I've never paid VED on mine, but I'm resigned to paying £20 on 1 March 2026...😈
  • Exodi
    Exodi Posts: 3,956 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper Combo Breaker
    mmmmikey's posts reflect my view.

    While it certainly rubs me up the wrong way that I'm compelled into paying 79p/kWh at a motorway services instead of ~30p/kWh (or mostly 6.7p/kWh on EV tariff) at home - I understand that I can't be simultaneously angry that there's seemingly not enough EV charging infrastructure.

    If you don't allow these companies the ability to make a ROI on the equipment being installed, they won't install it.
    Know what you don't
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