Energy price cap for residential park home owners

MWT

MarkD833 said:

Another interesting find, which I'm currently verifying is still in effect, is a statement from Greg Hands (Minister of State  - Department for Business, Energy and Industrial Strategy) on the 28th Feb 2022, in response to a question from Justine Madders MP, which reads: "The maximum price set by Ofgem for resupplying gas or electricity which has already been bought from an authorised supplier, exists to protect people such as those who are residents of mobile park homes and buy their fuel from the park owner."

I'd post the link to the actual page on the Parallel Parliament website but the forums won't let me yet.  

I don't think that part is going to be very useful as  I believe this is the other side of that and gives you the price set by Ofgem...

https://www.ofgem.gov.uk/sites/default/files/docs/2005/10/11782-resaleupdateoct05_3.pdf

molerat

The actual question and answer

Park Homes: Energy Supply

To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the effect of the exclusion of the energy reseller arrangements from the energy price cap on mobile park homeowners.

Asked 18 February 2022

The energy price cap on standard and default domestic supply tariffs was put in place in response to the problem of the ‘loyalty penalty’ as identified by the Competition and Markets Authority’s energy market investigation.

The maximum price set by Ofgem for resupplying gas or electricity which has already been bought from an authorised supplier, exists to protect people such as those who are residents of mobile park homes and buy their fuel from the park owner.

So the question was not actually answered but in a roundabout way the answer was that park homes are not covered by the price cap but the energy reseller rules do apply.

If a park home landlord is forced to supply electricity at below cost then I wonder what rules / contractual arrangements are in place to stop them from no longer wishing to supply it at all.

QrizB

molerat said:

If a park home landlord is forced to supply electricity at below cost then I wonder what rules / contractual arrangements are in place to stop them from no longer wishing to supply it at all.

If the rules were changed such that park home site operators have to sell at a price no higher than the residential cap, I would hope that the rules would also change to make park home sites eligible for residential tariffs.

Mstty

So, the only experience I have is some family that have one caravan they use as just their own and one they rent out on a Park Dean site.

They just got their Apr-Jun bill and it was 15p kWh so they obviously did a good business electricity deal.

It is in the interest of Park Dean to do the very best they can on a business electricity tariff as 30-40% of the park caravans are rented out by park Dean so a higher electricity rate means higher prices for holidaymakers and potentially lower profits.

I would expect most sites are the same they will try and get the best deal and it may well be below the cap rate anyway