EDF Essentials Exclusive

bristolleedsfan

cinders59 said:

bristolleedsfan said:

cinders59 said:

Dolor said:

To me all I can see is there is no benefit to fix , as the rates are dearer, yes EDF says my monthly paymenst will reduce to £156 a month

People go for fixed deals because they offer price certainty for a given period of time. There is no guarantee that prices will remain stable this coming Winter despite what economists might say. We live in an uncertain World. 

Yes, with winter coming, may be best to make sure of fixed prices 

Dolor maybe should add a disclaimer that he is neither on a fixed rate or a tariff with exit fees 

Exit fees that get charged for change of tariff unlike British Gas/Eon Next some suggestion to wait and see if cheaper fix is offered August/September ish time

Thanks
I am thinking maybe wait a month or so just to see what happens

 

https://www.cornwall-insight.com/press/average-price-cap-forecasts-fall-as-ofgem-revises-definition-of-typical-energy-consumption/

[Deleted User]

bristolleedsfan said:

cinders59 said:

bristolleedsfan said:

cinders59 said:

Dolor said:

To me all I can see is there is no benefit to fix , as the rates are dearer, yes EDF says my monthly paymenst will reduce to £156 a month

People go for fixed deals because they offer price certainty for a given period of time. There is no guarantee that prices will remain stable this coming Winter despite what economists might say. We live in an uncertain World. 

Yes, with winter coming, may be best to make sure of fixed prices 

Dolor maybe should add a disclaimer that he is neither on a fixed rate or a tariff with exit fees 

Exit fees that get charged for change of tariff unlike British Gas/Eon Next some suggestion to wait and see if cheaper fix is offered August/September ish time

Thanks
I am thinking maybe wait a month or so just to see what happens

 

https://www.cornwall-insight.com/press/average-price-cap-forecasts-fall-as-ofgem-revises-definition-of-typical-energy-consumption/

And the IEA suggests that a cold Winter in Europe plus Chinese growth  - which could result in LNG tankers heading towards Asia rather that the UK  - might result in a gas shortage. Remember, we cannot contract long-term for LNG as, on arrival of the tanker, the gas has to be offloaded and we do not have much in the way of storage. There is also an ongoing War in Ukraine. Two years ago, LNG prices rose as a result of China wanting the bulk of LNG exports. He who pays the most gets the tanker.

I confess that I have no idea whether Cornwall Insights is better at forecasting than the IEA. For what it is worth, my gas is capped at 6p/kWh until May 2024.

Swipe

No way I'd fix with these exit fees. I'll take my chances and if it goes up, I'll just use less. 

dunstonh

I must admit that I am tempted by it.  I am electricity only, and it would lock in the low EDF Eastern off-peak rate.  And with 68% of my use off peak, that would be worthwhile by giving me certainty.

Plus, current modelling indicates little or no change over the next few quarters but a harsh winter could push prices up.  Another mild winter may let them reduce further but for EDF, that would likely impact the day rate rather than the night rate.

dealyboy

@dunstonh said:

I must admit that I am tempted by it.  I am electricity only, and it would lock in the low EDF Eastern off-peak rate.  And with 68% of my use off peak, that would be worthwhile by giving me certainty.

Plus, current modelling indicates little or no change over the next few quarters but a harsh winter could push prices up.  Another mild winter may let them reduce further but for EDF, that would likely impact the day rate rather than the night rate.

Ooh, you're wavering.

You may well be right, you usually are ... sorry you always are ... but I'm going to stick until the next bid ... but that's me ... always the next one after the low ... trying to time the market ... tshh tshh!

Swipe

dunstonh said:

I must admit that I am tempted by it.  I am electricity only, and it would lock in the low EDF Eastern off-peak rate.  And with 68% of my use off peak, that would be worthwhile by giving me certainty.

Plus, current modelling indicates little or no change over the next few quarters but a harsh winter could push prices up.  Another mild winter may let them reduce further but for EDF, that would likely impact the day rate rather than the night rate.

I'd say it was a no brainer in your case

littleteapot

Swipe said:

dunstonh said:

I must admit that I am tempted by it.  I am electricity only, and it would lock in the low EDF Eastern off-peak rate.  And with 68% of my use off peak, that would be worthwhile by giving me certainty.

Plus, current modelling indicates little or no change over the next few quarters but a harsh winter could push prices up.  Another mild winter may let them reduce further but for EDF, that would likely impact the day rate rather than the night rate.

I'd say it was a no brainer in your case

Agreed that for anyone in the eastern region who is electric-only, with storage heaters and/or battery storage and/or an EV, and/or can shift a lot of their usage to the off peak period, the EDF 1 year fix is a total no brainer, especially given that it's already almost half the price of any other region.

Yes the 'price cap' may drop a bit, but even if it does drop by lets say 20%, any reduction is likely to be more in favour of the day rate. The EDF eastern region E7 rate is an anomaly in the current energy market and I suspect a 'correction' will be coming along in the next 12 months. But I will be pleased if my prophecy is proven wrong, just as I was when the government announced the EBSS and EPG last year. I'll report back next year if I even remember contributing to this thread or manage to find it again .

dunstonh

Yes the 'price cap' may drop a bit, but even if it does drop by lets say 20%, any reduction is likely to be more in favour of the day rate. The EDF eastern region E7 rate is an anomaly in the current energy market and I suspect a 'correction' will be coming along in the next 12 months

I think the ratio will change.  When is the unknown.   Historically, Eastern region was very much self contained for electricity generation and supply.  It had limited connectivity to connect outside of the region but that has been changing and there are a bunch of projects underway and in pipeline to spread more of its generation further around the UK.    

So, the excess off peak generation that currently exists will get lower. Plus, EVs, batteries etc are going to see more people drawing off peak.

The bit that is of minor interest is why EDF decided to change their pricing model. Speculation is that it was done aggressively to encourage more people to shift as much as possible off peak to use the nuclear generation that is in surplus at night.     Previously, when the prices were circa 7p off peak and 15p peak, there wasn't a significant difference to encourage consumers to switch more to offpeak.     At the higher prices, Eastern effectively had cheap excess off peak generation/supply and that allowed for more play in the pricing ratio than most other regions.