Shell Energy, I don't understand why they're asking for so much per month based on my usage?

Stevev99

So initially when I thought the price cap was going up in October, Jan and April still, I went with a suggested amount of £320 for dual fuel DD.
I installed smart meters in July and weirdly my bills dropped to £150 per month from £220 even though I manually read the meters accurately.
Now when I look at my account, I'm £638 in credit after September's bill of approx £158 for dual fuel and they've now asked me to raise my DD to a staggering £445 per month!!

I just do not understand how they're doing the calculations?

Robin9

CAn you give us the Actual Annual Consumptions please -  taken from Actual readings not Estimated ones.#

Stevev99

Hi and thanks.
Because I only joined Shell Energy in Jan/Feb when company went bust, the only data I have is from Feb as follows;

Gas KWH used

2022-03	679.98
2022-04	966.31
2022-05	508.38
2022-06	273.71
2022-07	250.18
2022-08	218.86
2022-09	411.69

Electricity KWH used

2022-03	455.35
2022-04	625.55
2022-05	661.46
2022-06	594.58
2022-07	449.92
2022-08	309.09
2022-09	624.46

kittyJ_2

Both times the cap increased they raised my monthly amount to just under 300 both times I called and lowered it back down to just above the amount I was using no idea why they do it I've never spent that much each month in the Last few months 

[Deleted User]

So you have £160 bills through the cheaper season and on a cheaper tariff.  In winter your consumption goes up and the tariff has just got more expensive.  I could easily see £160 monthly spend becoming £450 monthly spend given those factors.

daaave

I’m in a similar situation, albeit with lower usage and electric only.  Previous supplier went bust - pushed onto Shell, they keep wanting to put up my DD despite low usage.

I decided to stop playing their games and switched to “variable direct debit”. Now I’ll just burn through my credit in the next few months, then just pay for the energy I use at the end of each month.

I understand why the energy companies want to “smooth out” payments across the year and have people maintain a constant credit with them, but I just don’t think it’s in the customers interests most of the time.

Switch your energy to “variable direct debit” and then learn how to budget, is my advice to people!

Robin9

Stevev99 said:

Hi and thanks.
Because I only joined Shell Energy in Jan/Feb when company went bust, the only data I have is from Feb as follows;

Gas KWH used

2022-03	679.98
2022-04	966.31
2022-05	508.38
2022-06	273.71
2022-07	250.18
2022-08	218.86
2022-09	411.69

Electricity KWH used

2022-03	455.35
2022-04	625.55
2022-05	661.46
2022-06	594.58
2022-07	449.92
2022-08	309.09
2022-09	624.46

You appear to be a very high user -  in those 7 months alone your electricity is far greater than the "average " - almost double . Why ?

Gas - just as high.  400/500 kWh in Summer ?   Should be nearer 40/50

Have you the info for the Oct - Nov from your previous supplier ?

Coffeekup

Stevev99 said:

Hi and thanks.
Because I only joined Shell Energy in Jan/Feb when company went bust, the only data I have is from Feb as follows;

Gas KWH used

2022-03	679.98
2022-04	966.31
2022-05	508.38
2022-06	273.71
2022-07	250.18
2022-08	218.86
2022-09	411.69

Electricity KWH used

2022-03	455.35
2022-04	625.55
2022-05	661.46
2022-06	594.58
2022-07	449.92
2022-08	309.09
2022-09	624.46

Do you have a meter reading from around this time last year From an old bill or a photo? It's quite hard to gauge what you're annual usage would be. 
Reason being your usage appears sporadic, example for electric in March you used 450 kwh's In a darker colder month than in April, May and June your usage jumps by 150 kwh's per month. Then in July/August your usage is down to 439/309 kwh's, (where you may have been on holiday for a week or three (same for March)) but In September you're usage is up to 625 kwh's again. You're usage is generally 600-650 kwh's a month and I'm guessing you've been away in March, July and August, either way your chewing through some electric.
It's the same for gas ranging from 250-1,000 units used in the warmer months which is huge, this makes it hard to guess a winter usage for you.

Without knowing anything about your house size and how many are living in the house, (guessing atleast 4 people, 2 of them being teenegers) the equipment you have in the house and you're unit rates. I'll have a quick guestimate for the gas and electric annual figure's with gas being around 18,000 kwh's and electric being around 7,000 kwh's.
This would mean your gas total cost on the government cap for the year October 22 - Oct 23 would cost £2,000 inc vat and standing charges.
For the electric £2,700 over the next year, totalling you're duel duel bill to £4,700 or £390 a month, take off your £630 current credit and that'll being it down to £340 a month to keep you in credit.
Although that maybe affordable for you, try to figure out where you're usage is going it's the easiest way of bringing that bill down.
Currently if I were you I would set your DD to £300 a month and review it again in late March, you'll have some annual figure's by then and if you owe them money it won't be too much and they could even owe you if you bring that usage down.

Some things to answer which may help get down your usage if your not happy with the costs.
How many people in the house?
How is the water heated?
Do you have an electric car?
Do you have multiple fridge/freezer's?
Do you have multiple gaming PCs, games consoles and TV's?
Do you have a combi boiler?
Do people spend alot of time in the shower?
What tariff are you on?

[Deleted User]

daaave said:

I’m in a similar situation, albeit with lower usage and electric only.  Previous supplier went bust - pushed onto Shell, they keep wanting to put up my DD despite low usage.

I decided to stop playing their games and switched to “variable direct debit”. Now I’ll just burn through my credit in the next few months, then just pay for the energy I use at the end of each month.

I understand why the energy companies want to “smooth out” payments across the year and have people maintain a constant credit with them, but I just don’t think it’s in the customers interests most of the time.

Switch your energy to “variable direct debit” and then learn how to budget, is my advice to people!

No thanks. I understand my usage and prefer a constant cash flow rather than a massive variation in outlay when my income is broadly static.

Most people choose to “smooth out” payments. It’s not the company doing something dodgy.

Mobtr

[Deleted User] said:

daaave said:

I’m in a similar situation, albeit with lower usage and electric only.  Previous supplier went bust - pushed onto Shell, they keep wanting to put up my DD despite low usage.

I decided to stop playing their games and switched to “variable direct debit”. Now I’ll just burn through my credit in the next few months, then just pay for the energy I use at the end of each month.

I understand why the energy companies want to “smooth out” payments across the year and have people maintain a constant credit with them, but I just don’t think it’s in the customers interests most of the time.

Switch your energy to “variable direct debit” and then learn how to budget, is my advice to people!

No thanks. I understand my usage and prefer a constant cash flow rather than a massive variation in outlay when my income is broadly static.

Most people choose to “smooth out” payments. It’s not the company doing something dodgy.

I’m with you, much prefer a fixed amount coming out per month. I’m with EDF who only bill every 6 months which I’ve never had a problem with unlike a lot of people on here. I keep a bit if a check on what we use but not obsessively so & pay roughly what they suggest. I quite often get a refund at annual review which works for me, can do more with a little lump sum than £10-20 per month. I don’t see it as EDF keeping my money, more like a little savings plan that I wouldn’t do myself 

eastcorkram

@Stevev99

Is your house huge? Or a lot of people there? That electric use looks crazy to me. More than double, and sometimes triple what we're getting through.