Notification of increase - Timescales? - PLUS Query new DD from 1/4/23

Mstty

Yeah I'm not sure it is for energy companies to outline the EPG discounts on the SVT until your first bill. 

All the reduction rates are on the gov.uk EPG information part of their website and the new reduction rates will be confirmed we suspect on 15th March within the budget.

I get this may be confusing for many and expect we may see a flurry of similar posts on here that "My energy company is screwing me over etc etc"

Sea_Shell

Mstty said:

Yeah I'm not sure it is for energy companies to outline the EPG discounts on the SVT until your first bill. 

All the reduction rates are on the gov.uk EPG information part of their website and the new reduction rates will be confirmed we suspect on 15th March within the budget.

I get this may be confusing for many and expect we may see a flurry of similar posts on here that "My energy company is screwing me over etc etc"

Just to be clear, I'm not saying"my energy company are screwing me over".   But yes, we will likely see a flurry of those type of posts.

I was querying timescales for notifications.

Mstty

I wasn't saying you were I was talking about the one off posters that appear here.

As stated I think your energy have done all they have to and in plenty of time. Any more us just icing on the cake.

agentcain

vic_sf49 said:

Sea_Shell said:

frugalmacdugal said:

Hi,

when your fix ends you will default to the SVT applicable at that time.

Yes, I understand that too.

I'm talking about them notifying me, again, and telling me something different to my received "quote".

I know what's going on.  Many people don't, so I wanted to ask if ADDITIONAL notification would be made and when?

I'm with Octopus, and for the January rate change, they emailed me on the 28th December.

So advance notification... just.

Edited to add...this is the info they sent me for my electric account, which is nice and clear at least...

Anyone noticed the "fixed term tarrifs not offered because they make no sense" disclaimer?

Surely they make sense if these cowboys actually provide benefit to the market by properly hedging, thus offering lower cost energy to those willing to lock themselves in a rate under contract.

I guess those in power will never figure it out.

Scot_39

Sea_Shell said:

frugalmacdugal said:

Hi,

when your fix ends you will default to the SVT applicable at that time.

Yes, I understand that too.

I'm talking about them notifying me, again, and telling me something different to my received "quote".

I know what's going on.  Many people don't, so I wanted to ask if ADDITIONAL notification would be made and when?

Any significant change for Apr will come when Hunt and govt officially announce what is happening to the EPG and any alternative measures (but seems unlikely it will be anyrhing other than EPG - as suepct would have leaked by now).

This was done so late that when EPG came in For Oct that some people received physical rate notice letters after the 1st October last year - but those with online accounts tended to get emails - and mine were before changes.

For Oct mines came - about 1 week before - for Dec just over 2 weeks before the change.

They are basically at the mercy of the govt decision right now - so as per Oct - suspect any notification - will be towards the late end - like Sep.  Although - they have apparently been pre warned to calc the 2 sets of rates already this time though so who knows.

But you WILL be notified of the revised total - and the rates in a formal price change summary letter attached to it - by email  if on-line account etc or by letter.

"Must remember never to use heading font again"

If you have gone smart - they were even very quick at updating my meter rates - so could see on the IHD - within 1-2days iirc (On Jan 1st last time even) if delayed by post.

But if you are on flat rate - the unit rate figures will be on the govt website - days after the budget - and we already know the SC for electric is going up on ave 7p and 1p for electricity / gas on average - the EPG doesn't change these. 

From

https://www.ofgem.gov.uk/publications/ofgem-announces-latest-quarterly-price-cap-update

"From 1 April the equivalent per unit level of the price cap to the nearest pence for a typical customer paying by direct debit will be 51p  per kWh for electricity customers and a standing charge of 53p per day. The equivalent per unit level for a typical electricity muti-register customer is 50p per kWh and with a standing charge of 53p per day. The equivalent per unit level for a typical gas customer is 13p per kWh with a standing charge of 29p per day.  "

Ignore these unit rates though for now as they are raw - they are pre EPG - and so we don't know for 100% certainty how much they are being discounted by.  The consensus apparently is moving to staying at £2500

They are heavily regional on electric - but if you want the precise regional figure - you can find them in the nil kWh columns (these are yearly - so /365 - and ex VAT - so add 5%) - in Ofgem's announcement - for yor payment method (other is direct debit)

https://www.ofgem.gov.uk/sites/default/files/2023-02/Default tariff cap level - 1 April 2023 - 30 June 2023.pdf

You might want to read MLs article and watch the video clip linked at top of the forum here in Announcment

https://forums.moneysavingexpert.com/discussion/6431328/martin-lewis-on-whats-going-to-happen-to-your-energy-bills-in-the-next-few-months#latest

Link

https://www.moneysavingexpert.com/news/2023/03/martin-lewis-standing-charge-energy-price-guarantee/

Sadly if you are MR (E7) - will have to wait for EOn to announce how they are going to apply the new EPG discount - and the split day to night unit costs.  As the firms have a lot more flexbility in setting these.

Scot_39

agentcain said:

vic_sf49 said:

Sea_Shell said:

frugalmacdugal said:

Hi,

when your fix ends you will default to the SVT applicable at that time.

Yes, I understand that too.

I'm talking about them notifying me, again, and telling me something different to my received "quote".

I know what's going on.  Many people don't, so I wanted to ask if ADDITIONAL notification would be made and when?

I'm with Octopus, and for the January rate change, they emailed me on the 28th December.

So advance notification... just.

Edited to add...this is the info they sent me for my electric account, which is nice and clear at least...

Anyone noticed the "fixed term tarrifs not offered because they make no sense" disclaimer?

Surely they make sense if these cowboys actually provide benefit to the market by properly hedging, thus offering lower cost energy to those willing to lock themselves in a rate under contract.

I guess those in power will never figure it out.

Fixed contracts don't exist purely to always let you - the consumer - win.

Before the rush to the bottom - and mass competition and undercutting by the small firms - who don't exist any more - you ever asked why ? - the big firms used to issue fixes.

These were actually more expensive than the current rates to begin with - not the cheap deals you expect - paying a premium to secure the rate security.  They were not designed to give you a cheaper deal over the fix period - just the certainty.

None were priced for another war or energy crisis.

We are - or at least Russia and Ukraine are - in a war, we are still in an energy crisis.

These old fixes were a derisking strategy more than a money saving strategy.

Those predictions are now far more difficult.

There is no guarantee that Cornwall Insight are right on July - let alone Oct - or beyond. At times they have produced estimates less than a week apart with 10% price variation.

In one of the oil crisis - oil prices doubled early in first year - looked as if had stabilised - so people thought the worst was over - then doubled again by the following year. Nothing is certain.

And all suppliers - are now very aware of the volatility.

An important lesson forgotten from the previous energy crisis by all involved in the regulator and the board room of many a failed company.

If you want to benefit from todays market price - buy all of your electricity today.

Anything else is a risk to the supplier, the reseller.  And that risk has costs. Real costs.

If you want to expose yourself to the volatility - take on a policy like Agile Companies - suppliers on say 2% profit margin - may now be far more reluctant to.

Probably works great on average right now during the price ramp down - and surprisingly with EPG discount protection built in (which is a little cheaky) by bypassing the lag - but you take the risk. In a stable market - becomes far more interesting.

If you want to benefit from the peak smoothing and certainty of Ofgem pricing - accept the implicit lags of their past purchasing model based pricing - then accept the lag on the way down - just as you benefitted from it on the way up.

ML thinks some are proposing bringing fixes back - even he said - on Tues TV show - doesn't know if they will be worth taking.

New fixes - are unlikely to be the free for all rush to the bottom they were at the failed suppliers.

If they are - Ofgem definitely need a clear out.

Sea_Shell

Scot_39 said:

Sea_Shell said:

frugalmacdugal said:

Hi,

when your fix ends you will default to the SVT applicable at that time.

Yes, I understand that too.

I'm talking about them notifying me, again, and telling me something different to my received "quote".

I know what's going on.  Many people don't, so I wanted to ask if ADDITIONAL notification would be made and when?

For Oct mines came - about 1 week before - for Dec just over 2 weeks before the change.

But you WILL be notified of the revised total - and the rates in a formal price change summary letter attached to it - by email  if on-line account etc or by letter.

Thanks, that has answered my question. 


To close matters, I'll let you all know when my email is received, and how much notice they end up giving.

RG2015

I believe that there is a very strong possibility that the existing EPG will remain in place for the next quarter.

Thus the E.ON quote which I have as received as well for my fix expiring on 31st March should remain valid.

I will come back and post if and when I receive any notifications from E.ON.

PS. For those interested the daily usage tab on the E.ON app is up and running again with new and marginally better graphical data.

Sea_Shell

AIUI, the rates quoted will change slightly, even if the EPG stays at "£2500", as the standing charges are being tweaked if nothing else.

I'll find a link and be back...

Sea_Shell

https://forums.moneysavingexpert.com/discussion/comment/79907406/#Comment_79907406 

AIUI these are still subject to regional variations.