October 22 Government Price Cap

SteveG501

Can Suppliers (in this case EON Next) charge higher unit rates and standing daily charges than this in the latest Government price Cap. The government price cap is:
Elect unit rate of 34.0 p/KWh and Standing charge of 46 p/day
Gas unit rate of 10.3 p/kWh and SC of 28 p/day.

I’ve just had a quote from Eon Next of
Elec Unit rate of 54.36 p/kWh and SC of 56.94 p/day
Gas unit rate of 15.486 p/kWh and SC of 33.54 p/day

Can Eon Next do this?

GingerTim

They can offer fixed-term tariffs above the price cap rate - it's up to you if you want to take it.

If you are on the variable tariff then no, they can't charge any more than the price cap.

philipbin

Are you in South Scotland ?

Those are the rates before the EPG has been applied.

SteveG501

Thanks both - that answers my question.
Yes in South Scotland - just moved into a flat and trying to find an energy supplier

GingerTim

SteveG501 said:

Thanks both - that answers my question.
Yes in South Scotland - just moved into a flat and trying to find an energy supplier

Do you know who supplies the flat at the moment? You are automatically in a deemed contract with them when you move in - you should give them your opening meter readings and ask to be on the variable tariff. After that's been arranged then you can look in to switching away - though whether that's possible/worthwhile as things stand is another matter entirely!

OrwellianBabe

Strangely, I thought exactly the same about the OVO email I received today with my new prices.  These are the prices they're going to charge me from 1 October:

Electricity - Standing charge 50.35p and Usage 36.99p
Gas - Standing charge 33.53p and Usage 11.25p

I'm on their Simpler Energy tariff and pay by monthly Standing Order (not DD).  I live in Chichester so not sure which of the various regions West Sussex falls into, South East?

Who is checking that energy suppliers are sticking to the Gov's latest price cap figures?

[Deleted User]

OrwellianBabe said:

Who is checking that energy suppliers are sticking to the Gov's latest price cap figures?

OFGEM

OrwellianBabe said:

I live in Chichester so not sure which of the various regions West Sussex falls into, South East?

https://www.energynetworks.org/customers/find-my-network-operator

OrwellianBabe said:

Electricity - Standing charge 50.35p and Usage 36.99p
Gas - Standing charge 33.53p and Usage 11.25p

Looks spot on the Southern region non-DD prices to me.

helenm123

Why are most energy companies charging more than the price cap? I am with Shell energy and not in a fixed rate, I have just rang them (12th October) and my new standing charge for electric is 49.93 and yet the new price cap is 46.
What is the point of having a price cap if the energy companies are charging more than this?

[Deleted User]

helenm123 said:

Why are most energy companies charging more than the price cap? I am with Shell energy and not in a fixed rate, I have just rang them (12th October) and my new standing charge for electric is 49.93 and yet the new price cap is 46.
What is the point of having a price cap if the energy companies are charging more than this?

They are not charging more than the cap, you have misunderstood it, likely because the press reports have been poor.

 There are different caps in different regions and for different payment types.

Captain_Hotair

I am with EON Next and I am on their Next Flex tariff for use with an Off peak meter.

They are charging me Day rate 46.14 p/kWh and Night rate16.30 p/kWh Standing charge 55.42 p/day

When I ask why it is more than the 34p cap they reply

Electricity: Unit rate: Night: 16.30 p/kWh (EPG: 17.85 p/kWh) Day: 46.14 p/kWh (EPG: 17.85 p/kWh) (Including VAT). Standing charge: 55.42 p/day (Including VAT) The idea with Day and Night readings is that they average out to the 34 p/kWh

Does anyone know if this is correct within the government cap rules?

jbuchanangb

That is correct. Your day/night percentage split may not exactly match that used by the government and E.ON, but they have applied the 17p/kWh reduction (exc. VAT) to both the day and the night tariffs, which achieves the required reduction for you. Next year on 1 April the EPG comes to an end and you will move to whatever OFGEM decide is the "price cap" rates.