OVO putting up tarriff

Zypher20

Hiw can ovo be increasing my charges despite the price guarantee stating at £2500

GingerTim

Forget the £2500 figure, what the energy price guarantee limits are the unit prices. These are the new EPG unut prices as of 1 April.

Scot_39

The £2500 limits the total bill - from units and standing charges.

But the EPG discounts to achieve it only impact unit rates.  The p/kWh - govt left SC in tact as per Ofgem calcs.

But the headline £2500 is only on average - and EPG only arguably balances the likes of SC change on average at the tdcv 2900+12000 kWh usage levels.

Low users arguably lose out to higher users - especially on electric.

Ave SC up c7p in Feb 27 ofgem cap announcement - yours 7.1p.

The problem with regional average, is the balance changes - or rather more strictly - can change to reflect revised costs - and generally has- when Ofgem produce their cap figures.

In Jan people on SVT SR and gas saw maybe upto 1% changes - some up some down - the nature of averages.

Zypher20

I understand the 2500 is based on average usage and doesn't reflect the standing charge. 

However the stand charge and unit rates for both electricity and gas has gone up.  So unless the allocated "average usage" has decreased the average usage as assessed for the egg will now cost more in April than it did if March, despite the epg staying static.

GingerTim

There isn't so much of a discount now through the EPG as there was prior to 1 April, hence the higher rates and standing charges.

bristolleedsfan

Zypher20 said:

I understand the 2500 is based on average usage and doesn't reflect the standing charge. 

However the stand charge and unit rates for both electricity and gas has gone up.  So unless the allocated "average usage" has decreased the average usage as assessed for the egg will now cost more in April than it did if March, despite the epg staying static.

I think the best answer is that annual average dual fuel level varies from region to region, some regions above £2500, some below as can be seen in last column of Octopus DD rates table

Scot_39

Zypher20 said:

I understand the 2500 is based on average usage and doesn't reflect the standing charge. 

However the stand charge and unit rates for both electricity and gas has gone up.  So unless the allocated "average usage" has decreased the average usage as assessed for the egg will now cost more in April than it did if March, despite the epg staying static.

The EPG doesn't remain static in any one region - because it doesn't actually exist in any one region.The EPG £2500 figure is an average no more no less.

The govt bases the 16.6p and 2.x p discount on this average price - and that gets applied to the Ofgem regional cap.

There was a govt table for this in the rate cards thread iirc.

Edit = Had to go back a few pages but the post is here - seperate for gas and electric - but ...

From @[Deleted User]

https://forums.moneysavingexpert.com/discussion/comment/79922315/#Comment_79922315

The Octopus figures may be out a little - as I have been told their Standing Charges are a little lower (4% ?)  - but shows the general trend.

bristolleedsfan

Scot_39 said:

Zypher20 said:

I understand the 2500 is based on average usage and doesn't reflect the standing charge. 

However the stand charge and unit rates for both electricity and gas has gone up.  So unless the allocated "average usage" has decreased the average usage as assessed for the egg will now cost more in April than it did if March, despite the epg staying static.

The Octopus figures may be out a little - as I have been told there SC are a little lower (4% ?)  - but shows the general trend.

Comparing Octopus tables with EDF it can be seen Octopus table reflects on average 4% cheaper SC

https://www.edfenergy.com/sites/default/files/dm1903_pl1_rate_card_builed_aw4_v1.pdf

Scot_39

Interestingly almost equally split between electic and gas - despite the higher electric SC

So just taking DD

SR  - Oct ave 51.32, govt ave 53.0 - diff 1.68p

Gas - Oct ave 27.47, govt ave 29.1 - diff 1.63p