Shell Energy given me a new DD amount for next 8 mths

kuepper

Because from 1st April I've been put on their Flexible 7 tariff. This new DD involves a 140% increase on what I've been paying( but I have had 2 months on the Flexible 6 tariff after my Fix finished and I carried on at the old DD figure as I was slightly in credit anyway). . Shell Energy say the 8 mths will take me to the (2nd) anniversary of when my DD with them began. However it's occurred to me that this will take me beyond the predicted October rise in the price cap. Shouldn't Shell only be giving me a new DD figure based on my predicted consumption at the present price cap until 1st October?

Coffeekup

kuepper said:

 Shouldn't Shell only be giving me a new DD figure based on my predicted consumption at the present price cap until 1st October?

They have.... You said yourself it's a 140% Increase. I'm guessing the reason it's gone up 140% is because you came off a cheap fixed tariff, went on to the variable for a couple of months and now you'll be on the new variable rate for 6 months and your no longer "slightly in credit".

Do monthly meter readings, and give them to your supplier and cut back on what you use. It will bring your future bills down.

prowla

A 140% increase is quite a lot!

kuepper

Coffeekup said:

kuepper said:

 Shouldn't Shell only be giving me a new DD figure based on my predicted consumption at the present price cap until 1st October?

They have.... You said yourself it's a 140% Increase.

The point I was trying to make was that they've based my DD on consumption until December so it will include 2 months winter usage, I thought it should only be based on usage til 1st October when new price cap comes in

molerat

They can only base the DD on what they know.  No one knows what will happen in October.

razord

kuepper said:

Coffeekup said:

kuepper said:

 Shouldn't Shell only be giving me a new DD figure based on my predicted consumption at the present price cap until 1st October?

They have.... You said yourself it's a 140% Increase.

The point I was trying to make was that they've based my DD on consumption until December so it will include 2 months winter usage, I thought it should only be based on usage til 1st October when new price cap comes in

It will always be based on a rolling year at the current price, at each calculation. Whenever the prices change, that will (normally) re-trigger the calculation.

MattMattMattUK

kuepper said:

Coffeekup said:

kuepper said:

 Shouldn't Shell only be giving me a new DD figure based on my predicted consumption at the present price cap until 1st October?

They have.... You said yourself it's a 140% Increase.

The point I was trying to make was that they've based my DD on consumption until December so it will include 2 months winter usage, I thought it should only be based on usage til 1st October when new price cap comes in

It can be based on any sound methodology, there is no reason they cannot take a provisional guess at total usage, especially with the normal drop in usage over the summer then they might be fairly accurate, although hard to tell as increasing costs are causing deviance from historical usage patterns. There is no reason 1st October needs to be a cutoff, if there is a shortfall they will just further kncreade the direct debit after December.

jbuchanangb

I've set my DD payment from April by using the last 12 months consumption at the rates set from 1 April. In September when we know the rates from 1 October, I can recalculate it, once again using the previous 12 months, but now with the new rates, and any credit/debit balance on the account. 

D33C33

I've today written to Shell Energy asking for an explanation as to how they have arrived at my 'Predicted remaining spend' for the next 5 months.  Using my energy consumption for the same period last year, and applying the new unit and standing charge rates, I get a figure about 40% lower than what they have quoted to me. I get the feeling that some suppliers might be using this as an opportunity to inflate DDs and their own bank balances.

Smudger78

Apologies for jumping in on this thread but have just spent half an hour trying to find out what our new post April Tarrif rates are with shell energy without success. 

When logged into “My account” it’s stating we are currently on “Flexible 6” with an annual estimated cost of £1800 but no info kWh rates or standing charge figures. Below this is the information for Flexible 7 which comes with an estimated annual cost of £2700 and full info on kWh rates and standing charges. It is then asking me to “select” this tarrif. I am not about to choose a tariff which is more expensive and by the fact they are asking me to do this I am assuming (possibly wrongly) that we have the option of staying on “Flexible 6” but if this is the case we still want to know what the rates and standing charges are post April - not a lot to ask is it???

pochase

@Smudger78
Flexible 6 seems to be their standard variable tariff with the October CAP prices, while Flexible 7 is the standard variable tariff that started last Friday.

They will put you onto the new tariff/rates automatically.

https://imageassets.shellenergy.co.uk/tariff-guides-rmr/ISDFEDV939SR/ISDFEDV939SR1R_CDDPN.pdf

https://imageassets.shellenergy.co.uk/tariff-guides-rmr/ISDFEDV969SR/ISDFEDV969SR1R_ADDPN.pdf

Sorry, one is for the Eastern and one for London region, that were the only two I could find in a hurry.

Reason that they ask you to accept the new tariff might be that they are not the real SVT, there is a special clause regarding payment by variable direct debit and you submitting a monthly reading.