July '23 Economy 7 tarrifs

ednovice

I have an annual electricity usage of approx 8,000kwh split between c.26% day rate and c.74% night rate. Comparing the cost at 1April tariff and 1 July tariff, I find the reduction is less than 7% overall - day rate reduction 15% and night rate reduction 1.8%. This seems way below an average reduction of 17%. Is this common to all Economy 7 tariffs or am I just unfortunate with my supplier. My original supplier 'went under' roughly a year ago and I am on a standard variable Economy 7 tariff. Can anyone shed any light?

Spoonie_Turtle

The reduction in the 'typical dual fuel usage' cost this time comes more from gas than from electricity, so those of us all-electric don't get quite so much of a reduction.

With Economy 7 you could shop around to see what rates would most suit your summer usage, the rest of us don't have that option.  But it seems the day rate reduction being much greater than night rate is targeted at summer usage, when storage heaters won't be needed, hot water needs less heating up as it's not as cold entering the tank, fridges and freezers will be working harder during the warm daytime, people needing fans / air conditioning, things like that.

The price cap will change again in October for winter and suppliers may well revise the peak/off-peak split again then.

Swipe

Spoonie_Turtle said:

The price cap will change again in October for winter and suppliers may well revise the peak/off-peak split again then.

I bet you believe in fairies too

RobJM

Hi,

I have a similar usage % , however I'm currently with Scottish power , and although my day rate is going down 7p, my night rate is going up over 2p , this pretty much wipes out any day saving.
On working out with my yearly usage I'm only getting a reduction of under 2%?

I also found this on this site about E7:
"That means that from April, suppliers should apply the discount equally across the day and night rates. Previously, firms had more freedom on how they split the discount between the two rates."

Doesn't seem it's being implemented here?

Spoonie_Turtle

RobJM said:

Hi,

I have a similar usage % , however I'm currently with Scottish power , and although my day rate is going down 7p, my night rate is going up over 2p , this pretty much wipes out any day saving.
On working out with my yearly usage I'm only getting a reduction of under 2%?

I also found this on this site about E7:
"That means that from April, suppliers should apply the discount equally across the day and night rates. Previously, firms had more freedom on how they split the discount between the two rates."

Doesn't seem it's being implemented here?

That's because the EPG discount doesn't apply from July.

Scot_39

ednovice said:

I have an annual electricity usage of approx 8,000kwh split between c.26% day rate and c.74% night rate. Comparing the cost at 1April tariff and 1 July tariff, I find the reduction is less than 7% overall - day rate reduction 15% and night rate reduction 1.8%. This seems way below an average reduction of 17%. Is this common to all Economy 7 tariffs or am I just unfortunate with my supplier. My original supplier 'went under' roughly a year ago and I am on a standard variable Economy 7 tariff. Can anyone shed any light?

The vast majority of the £2074 Ofgem vs £2500 EPG savings are on gas - where the EPG discounted unit rate is currently an average of c10.3p - and will by c7.5p

2.8px12,000 kWh current (*) TDCV = £336 of the £426 difference - 80%.

That c2.8p reduction - a 27% fall.

The electric 33p to c30p (Ofgem rounded figures -exact SRs ?) - less than 10%.

(~*) There is a twitter post in another thread from CI saying Ofgem are reducing the duel fuel TDCV's 2900->2700 - and 12000->11,500 from Oct)

I know it's probably real with millions cutting back here and there - but it does smack a little of shrinkflation - and means will have to go to units and SC rates - not the cap itself to compare.

You might want to check out other suppliers rates - as E7 has been very fluid price wise - even during the "fixed" notional £2500 EPG headlines.

ednovice

Thanks. Some of this makes sense even if it doesn't seem 'fair' on the electric storage heater users. At least I'm getting a reduction and can afford to keep warm. 

jbryce

Spoonie_Turtle said:

The reduction in the 'typical dual fuel usage' cost this time comes more from gas than from electricity, so those of us all-electric don't get quite so much of a reduction.

With Economy 7 you could shop around to see what rates would most suit your summer usage, the rest of us don't have that option.  But it seems the day rate reduction being much greater than night rate is targeted at summer usage, when storage heaters won't be needed, hot water needs less heating up as it's not as cold entering the tank, fridges and freezers will be working harder during the warm daytime, people needing fans / air conditioning, things like that.

The price cap will change again in October for winter and suppliers may well revise the peak/off-peak split again then.

As far as I can see, there are three suppliers accepting transfers at the moment, Utility Warehouse, Ovo, and EDF. It shouldn't take too long to get the rates for all three and calculate what your bills would be with each.

For my usage, in the Southern Region, Utility Warehouse works out the cheapest. There could be a scenario where OVO is cheaper - day rate is slightly cheaper, standing charge slightly more expensive, night rate a lot more expensive. EDF would never beat Utility Warehouse under any scenario, everything is more expensive.

ednovice

Many thanks. I will do the calculations with OVO and UW to see whether its worth a switch or better to wait until October to see what happens next. I am loathe to jump too soon! I shall be glad when the MSE Cheap Energy comparison site comes back with additional information regarding customer service and renewable energy ratings. 

Spoonie_Turtle

jbryce said:

Spoonie_Turtle said:

The reduction in the 'typical dual fuel usage' cost this time comes more from gas than from electricity, so those of us all-electric don't get quite so much of a reduction.

With Economy 7 you could shop around to see what rates would most suit your summer usage, the rest of us don't have that option.  But it seems the day rate reduction being much greater than night rate is targeted at summer usage, when storage heaters won't be needed, hot water needs less heating up as it's not as cold entering the tank, fridges and freezers will be working harder during the warm daytime, people needing fans / air conditioning, things like that.

The price cap will change again in October for winter and suppliers may well revise the peak/off-peak split again then.

As far as I can see, there are three suppliers accepting transfers at the moment, Utility Warehouse, Ovo, and EDF. It shouldn't take too long to get the rates for all three and calculate what your bills would be with each.

Not sure what makes you think that as others are definitely accepting switches as well.  Octopus, Eon, and British Gas are the other biggies that come to mind.  Maybe Utilita as well?

ispookie666

If you are in East Anglia, look into EDF, they have the cheapest E7 rates - single digit. 
The only reason I have not switched to EDF is due to  Octopus Outgoing.