Charge per KW

Matthew98

Hi, I have a static caravan sited in Ripon, North Yorkshire, our electricity charge has gone from 18p per kw up to 38p per kw. I believe companies are not allowed by law to make a profit from the supply of electric, so would this price be right for the area for electric. Please help as a lot of people are struggling

Robin9

How much do you think your site management is paying >-?

As as small business I am paying 36 p/KWh  plus a standing charge of £2.13 / day.   (plus VAT)   

Reed_Richards

Is the static caravan your permanent residence?

pochase

Are you having an account directly with an electricity supplier or are you getting the energy through the caravan park? When you are saying "not allowed to to make profit" most likely the later.

Please don't forget that the owner of the caravan park is not paying a capped rate, they are a business and are paying business rates which are more expensive and not protected. It seems to me that the rate you are getting is not bad at all for a business rate, I have seen much higher rates for businesses here in the forum.

Matthew98

Robin9 said:

How much do you think your site management is paying >-?

As as small business I am paying 36 p/KWh  plus a standing charge of £2.13 / day.   (plus VAT)   

Hi Robin, thanks for the reply, and the answer is I don’t honestly know, I am guessing that it would be a set amount for that particular area, for business rates but I don’t know how much that is. 

Matthew98

Reed_Richards said:

Is the static caravan your permanent residence?

No just for holidays. Does that make a difference?

Matthew98

pochase said:

Are you having an account directly with an electricity supplier or are you getting the energy through the caravan park? When you are saying "not allowed to to make profit" most likely the later.

Please don't forget that the owner of the caravan park is not paying a capped rate, they are a business and are paying business rates which are more expensive and not protected. It seems to me that the rate you are getting is not bad at all for a business rate, I have seen much higher rates for businesses here in the forum.

Thanks for your reply, you guessed correctly, supplied they the park. I know they are on a business rate, but was wondering if that is the price for the area or were they adding something on, as you may not be aware caravan parks like to make their own rules up when it comes to making money.

pochase

I don't think there will be a comparison for the area. Business tariffs are not bound by a Cap rate, they are negotiated directly between supplier and customer or an deemed rate for exactly this supplier.

I don't think 38p is that expensive for a business rate, we have seen here lately people in a business contract with 80p and more per KWh.

Astria

They might be charging more for the electric than they are buying it for, but most companies don't have the infrastructure to bill residents and take payments/etc (or want it kept separate) so farm this out to another company, so they are allowed to include administrative cost. This is very similar to how EV charging works in some flats - the EV charging points are sometimes run on a communal power supply rather than the residents own power and any usage is charged for by another company, identifying the users via RFID access control.

SAC2334

pochase said:

Are you having an account directly with an electricity supplier or are you getting the energy through the caravan park? When you are saying "not allowed to to make profit" most likely the later.

Please don't forget that the owner of the caravan park is not paying a capped rate, they are a business and are paying business rates which are more expensive and not protected. It seems to me that the rate you are getting is not bad at all for a business rate, I have seen much higher rates for businesses here in the forum.

Business rates are not all more expensive.  The very  large businesses/factories engage in a contract barter with suppliers .The really big users get the lowest rates and they were always lower than domestic rates when I was on the job reading big business meters. Even SME s a few years ago  could be lower than domestics and many people living in domestic premises were registered on business rates because it was cheaper.
Seems to have gone bonkers since the huge rise with SME s paying ludicrous rates and standing charges which amount to daylight robbery especially if they are out of contract.  

CKhalvashi

Robin9 said:

How much do you think your site management is paying >-?

As as small business I am paying 36 p/KWh  plus a standing charge of £2.13 / day.   (plus VAT)   

Just as an aside, we're paying 33p/kWh plus a standing charge of £3.55/day as a Medium business, again plus VAT. We are quite high users of electricity (offices, music studios, warehouse space, 2 EV chargers (of which 1 is currently in use) and some production in an 1800sq.m unit), but likely not more so than a holiday park overall depending on size.

Assuming the park is not residential, the amount is not capped.