Capped tariff -- backdoor nationalisation

2010

With most people now or in the future (when fixes end) being on the capped tariff, it seems a bit like nationalisation by the backdoor.

Mrs T sold off the energy companies to create competition but now most of the big six are foreign owned.

The fledgling companies were poorly regulated and vetted by Offgem and some went bust leaving everyone to pick up the "supplier of last resort" bill.

Maybe, although it doesn`t look good now, this capping tariff will prove to be a watershed moment to get the vital services back under state control.

One price per unit for gas / electricity for all customers no matter what form of payment they choose to make.

Labour and their Great British Energy seem to think so.

[Deleted User]

It isn’t, and there is no evidence that state control would be any better. 

Labour’s Great British Energy is a fad-following bandwagon that will take decades and still only be a tiny part of any plausible solution.

michaels

Dairy prices have shot up, all the supermarkets charge the same for milk.  Let's nationalise the supermarkets as food is essential.

If only dealing with energy companies was as efficient and easy as dealing with HMRC, DSS, Passport Office, DVLA etc etc

The govt would of course prioritise investment in sexy, vote-winning areas such as energy supply infrastructure over boring areas with no voter appeal like the NHS.... 

ChaunceyGardiner

Mrs T sold off the energy companies to create competition 

If you think that's why she sold them off, I've got a bridge to sell you.

sevenhills

2010 said:

Mrs T sold off the energy companies to create competition but now most of the big six are foreign owned.

You could well drive a foreign car and be posting on here using a foreign made computer.
Does it make any difference who owns them?
There are many more than six energy companies. If it concerns you, buy British 

[Deleted User]

sevenhills said:

2010 said:

Mrs T sold off the energy companies to create competition but now most of the big six are foreign owned.

You could well drive a foreign car and be posting on here using a foreign made computer.
Does it make any difference who owns them?
There are many more than six energy companies. If it concerns you, buy British 

Not quite so many as there were before, but your point still stands.

dunstonh

Maybe, although it doesn`t look good now, this capping tariff will prove to be a watershed moment to get the vital services back under state control.

Why do you think they are vital?

They don't create the energy.  They don't maintain the network.

2010

"With most people now or in the future (when fixes end) being on the capped tariff, it seems a bit like nationalisation by the backdoor".

The above was the point I was making, the rest was background.
The cap is in place for two years by which time, unless prices drop dramatically, most of the country will be on it.
Almost nationalisation, one price for all.

MWT

2010 said:

"With most people now or in the future (when fixes end) being on the capped tariff, it seems a bit like nationalisation by the backdoor".

The above was the point I was making, the rest was background.
The cap is in place for two years by which time, unless prices drop dramatically, most of the country will be on it.
Almost nationalisation, one price for all.

You are assuming that there will be no other tariffs for customers to select, which is by no means a certainty.

Things need to settle down a bit before we get a good idea of what suppliers like Octopus will do with their various beta tariffs...

Even then, it is not 'one price for all', take a look at the variation on the E7 versions of the SVT, plenty of reasons there to pick one supplier over another depending on your balance of day/night use...

Section62

2010 said:

"With most people now or in the future (when fixes end) being on the capped tariff, it seems a bit like nationalisation by the backdoor".

The above was the point I was making, the rest was background.
The cap is in place for two years by which time, unless prices drop dramatically, most of the country will be on it.
Almost nationalisation, one price for all.

The energy caps aren't "one price for all" (except in some of the tablid media perhaps).

Even pre-privatisation - in the halcyon days of the regional boards - there was never "one price for all".

dunstonh

The cap is in place for two years by which time, unless prices drop dramatically, most of the country will be on it.

The cap is up to two years.  It may be removed earlier.

Even then, it is not 'one price for all', take a look at the variation on the E7 versions of the SVT, plenty of reasons there to pick one supplier over another depending on your balance of day/night use...

I suspect that there will be a fair bit of activity in the economy 7 switching market.  There are clear differences between a number of the suppliers.  I would be switching my E7 tariff right now if it wasn't for the fact my meter clock is wrong in my favour.