Martin Lewis: Why are energy standing charges so high? What can be done

MeteredOut

MattMattMattUK said:

MouldyOldDough said:

MattMattMattUK said:

MouldyOldDough said:

MattMattMattUK said:

MouldyOldDough said:

MikeJXE said:

Not necessarily some anti standing charge customers are rich who can afford solar panels that for some covers there entire electric bill and some more 

I am happy with that because they are adding to their "green credentials" but I am a very low user and feel that an unfair charge is added to my monthly bill (sometimes 75% of my bill is SC..)

Why do you feel that paying for your grid connection and contributing towards the maintenance of the grid is "unfair"?

Because - if you look at the reason for charging - we are paying for the transport of energy - either electricity or gas and that should be paid on quantity transported not a standard amount

You are paying for having the facility to transport energy to your home. The transport costs that are variable, losses, etc. are on the unit rate. On the basis if your reply it does appear that you feel it is unfair that you should pay for your grid connection, unless you would like to clearly state otherwise?

No, I am not saying that - I am just saying that it would be a fairer method to charge by the kW for SC !!

So lower users pay less.

Fixed costs are attributed to the standing charge, variable costs are attributed to the unit rate. So everyone pays for their connection, and everyone pays for their connection. You keep claiming you want a fair/fairer system, whilst simultaneously wanting to change to a system where average and higher users subsidise lower users, those are contradictory positions. 

What many people mean when they say "fairer" actually means "fairer for me".

MattMattMattUK

MeteredOut said:

MattMattMattUK said:

MouldyOldDough said:

MattMattMattUK said:

MouldyOldDough said:

MattMattMattUK said:

MouldyOldDough said:

MikeJXE said:

Not necessarily some anti standing charge customers are rich who can afford solar panels that for some covers there entire electric bill and some more 

I am happy with that because they are adding to their "green credentials" but I am a very low user and feel that an unfair charge is added to my monthly bill (sometimes 75% of my bill is SC..)

Why do you feel that paying for your grid connection and contributing towards the maintenance of the grid is "unfair"?

Because - if you look at the reason for charging - we are paying for the transport of energy - either electricity or gas and that should be paid on quantity transported not a standard amount

You are paying for having the facility to transport energy to your home. The transport costs that are variable, losses, etc. are on the unit rate. On the basis if your reply it does appear that you feel it is unfair that you should pay for your grid connection, unless you would like to clearly state otherwise?

No, I am not saying that - I am just saying that it would be a fairer method to charge by the kW for SC !!

So lower users pay less.

Fixed costs are attributed to the standing charge, variable costs are attributed to the unit rate. So everyone pays for their connection, and everyone pays for their connection. You keep claiming you want a fair/fairer system, whilst simultaneously wanting to change to a system where average and higher users subsidise lower users, those are contradictory positions. 

What many people mean when they say "fairer" actually means "fairer for me".

By which they actually mean "Cheaper for me", fairness does not come into their thought process, they just feel that it is a convenient thing to claim rather than admitting their want is selfish. 

Oscarmax

The_Green_Hornet said:

After 37 pages of comments has anyone changed their view on standing charges yet?

What we need now is another thread on smart meters. 😉

Merry Christmas 🎄and A Happy New Year 🎆

I am quite happy with the standing charges, what ever they do we will all moan, I must admit over the last few years they have shot up a bit, as regards electricity the break even point is an extra 7 pence @ kWh