BULB electricity

BBurkill

A question regarding electricity prices with Bulb.

 The price of electricity and Gas has gone up because the price of the raw materials (gas and oil) to produce electricity have gone up.

 My daughter and my stepmother have just had solar panels installed, complete with batteries. Both of them have left the national grid entirely and no longer incur the electricity standing charge, nor do they “sell back” electricity to the national grid as the rates are pitiful. They are totally reliant on the Solar panels  for electricity, and it is estimated that they will recover the full cost of the panels within 15 years.  The cost of producing and using electricity is zero. They both have to still rely on the providers for Gas of course.

 I understand that Bulb have to buy gas to sell gas, but Bulb claim to produce 100% of electricity from “Renewable sources” (wind/solar power). So, Bulb ( just like my daughter and stepmother) are not buying Oil or gas to produce electricity.

So why does the wholesale price of oil and gas affect electricity bills, when no raw material is purchased.?? Surely the price increase apply to Gas only.

Or have I totally misunderstood the situation?

[Deleted User]

This has already been asked once today, and many many times before this.

https://forums.moneysavingexpert.com/discussion/6388859/why-is-electricity-rising-as-fast-as-gas

https://forums.moneysavingexpert.com/discussion/6364901/gas-and-electric-price-link

https://forums.moneysavingexpert.com/discussion/6383358/decoupling-of-electricity-and-gas-prices

https://forums.moneysavingexpert.com/discussion/6338754/electricity-and-gas-prices

https://forums.moneysavingexpert.com/discussion/6332680/why-are-electricity-prices-linked-to-gas-prices

https://forums.moneysavingexpert.com/discussion/6388257/why-has-the-energy-price-guarantee-favoured-electricity-over-gas

https://theconversation.com/renewables-are-cheaper-than-ever-so-why-are-household-energy-bills-only-going-up-174795

QrizB

You've totally misunderstood. See this thread:

https://forums.moneysavingexpert.com/discussion/6388859/why-is-electricity-rising-as-fast-as-gas

I do hope your relatives have sized their system with winter on mind. Being self sufficient over the summer is easy, but November to February is a different matter.

[Deleted User]

Also remember, Bulb don't own any generators - they don't claim anywhere to "produce" 100% of energy from renewable sources.

Bulb even explain themselves where the electricity comes from:

"We buy our electricity on the wholesale energy market. For every unit of electricity our members use, we buy a renewable generation certificate (called a REGO) to match."

They pay wholesale prices, plus an extra cost for the renewable certificate.

A large energy supplier with over 1.5 million customers is not the same as your daughter and step-mother.