Energy Price Guarantee (announced 8 Sep): initial reaction & questions

danmed

So.. 34p is the unit "cap".. but (and please know i know no one can actually answer this 100%) but if i'm on economy 7 then my Day rate could be higher, and my night rate could be lower than 34p.. but as an average over 24 hours my unit rate should be 34p right? 

Any benefits from this would be down to me keeping my usage ratio firmly in the night hours?

daaave

danmed said:

So.. 34p is the unit "cap".. but (and please know i know no one can actually answer this 100%) but if i'm on economy 7 then my Day rate could be higher, and my night rate could be lower than 34p.. but as an average over 24 hours my unit rate should be 34p right? 

Any benefits from this would be down to me keeping my usage ratio firmly in the night hours?

I’m on economy 10, but being charged E7 rates via shell as solr.

basically, I expect what you said is broadly correct. The “average” rate, assuming the average split ~60%/40% day/night usage, will be equivalent to the 34p cap.

it’s possible they might do it differently, but I doubt it.

danmed

daaave said:

danmed said:

So.. 34p is the unit "cap".. but (and please know i know no one can actually answer this 100%) but if i'm on economy 7 then my Day rate could be higher, and my night rate could be lower than 34p.. but as an average over 24 hours my unit rate should be 34p right? 

Any benefits from this would be down to me keeping my usage ratio firmly in the night hours?

I’m on economy 10, but being charged E7 rates via shell as solr.

basically, I expect what you said is broadly correct. The “average” rate, assuming the average split ~60%/40% day/night usage, will be equivalent to the 34p cap.

it’s possible they might do it differently, but I doubt it.

Appreciate the reply and the knowledge someone else agrees i might possibly be right.. but maybe not.. but who knows

[Deleted User]

danmed said:

daaave said:

danmed said:

So.. 34p is the unit "cap".. but (and please know i know no one can actually answer this 100%) but if i'm on economy 7 then my Day rate could be higher, and my night rate could be lower than 34p.. but as an average over 24 hours my unit rate should be 34p right? 

Any benefits from this would be down to me keeping my usage ratio firmly in the night hours?

I’m on economy 10, but being charged E7 rates via shell as solr.

basically, I expect what you said is broadly correct. The “average” rate, assuming the average split ~60%/40% day/night usage, will be equivalent to the 34p cap.

it’s possible they might do it differently, but I doubt it.

Appreciate the reply and the knowledge someone else agrees i might possibly be right.. but maybe not.. but who knows

They haven't announced the E7 cap yet - it will be similar to 34p but we don't know if it will be exactly the same.  Your day rate will be higher than the cap and your night rate will be lower than the cap.

Each supplier can pick its own balance between day and night rates but they all must keep to the same rule - If you use 58% day and 42% night, you will pay the E7 cap rate overall.

Steve_79_P

SparkyGrad, what happens (to the 58/42 split) with non traditional time of use tariffs? Eg octopus go only has a 4 hour off peak window, and GEUK tide has 3 different tariffs? Any ideas?

SnakePlissken

danmed said:

So.. 34p is the unit "cap".. but (and please know i know no one can actually answer this 100%) but if i'm on economy 7 then my Day rate could be higher, and my night rate could be lower than 34p.. but as an average over 24 hours my unit rate should be 34p right? 

Any benefits from this would be down to me keeping my usage ratio firmly in the night hours?

Looking at eons rate from april 2021  economy 7 comparing & cost of it  to std rate  i worked out it is roughly 25% more expensive for day and 23% cheaper for night for scotlands rate. ( very rough approximation, but should give a very rough idea of cost to expect)

eonenergy.com/gas-and-electricity/our-product-prices.html

For monthly usage, I tend to be 45% night /55 day% in summer and around  73% night/27% day at peak of winter.

Mishan

British Gas have today updated their quotes to new standard variable tariff which is over £200 less per year for me than the fix I took out in May and have waived exit fees for switching to the standard variable tariff.  I have therefore switched. Bizarrely, however, although they show the correct rates for my existing fix, all of which are higher than the new standard variable, they say the fix is over £500 cheaper.  So look at the detail not the headline before deciding what to do.

mrsmac59

Mishan said:

British Gas have today updated their quotes to new standard variable tariff which is over £200 less per year for me than the fix I took out in May and have waived exit fees for switching to the standard variable tariff.  I have therefore switched. Bizarrely, however, although they show the correct rates for my existing fix, all of which are higher than the new standard variable, they say the fix is over £500 cheaper.  So look at the detail not the headline before deciding what to do.

Did you do this through an email link from British gas or go through switch tariff on your account I've just looked and atm they offer  32.239kwh,49.831 dsc.,surely when new price cap comes into force on 1st Oct  rates will change.There is not a lot of difference money wise in my switching to this rate unless by a miracle it stays as price cap rate from October.!!

Chrysalis

Another minor update from Octopus reaffirming customers will start to be notified end of week.

mrsmac59

Chrysalis said:

Another minor update from Octopus reaffirming customers will start to be notified end of week.

Lucky Octopus customers