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The new energy bill

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Foreverdreaming
Foreverdreaming Posts: 6 Forumite
Part of the Furniture Name Dropper First Post Combo Breaker
edited 11 September 2023 at 9:58AM in Energy
I have been advised that the energy bill was passed through the HoCs last week, and I've heard/read the following:

a) if a landlord or if an owner who doesn't have a heat pump wants to move then you can be fined £15k or face 6 months in prison.

b) I'm not sure if this was passed last week or not, but you have to have a smart meter installed.  I have been told this is likely wanted to be to help manage the grid ie. they can turn off the power if they need to.  I have also heard they want this to monitor/track usage, and what devices you are using.

I can't believe all of this is true - so would appreciate any clarifications/feedback from some of the experts here.  Having to have a heat pump seems the most bonkers considering that a number of buildings in the UK aren't suited to using this technology.

Also, if this summary is 100% true, when does it come into effect?  


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Comments

  • GingerTim
    GingerTim Posts: 2,608 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    edited 10 September 2023 at 11:58AM
    Here's the latest version of the Energy Bill: https://bills.parliament.uk/bills/3311/publications


  • Sea_Shell
    Sea_Shell Posts: 10,025 Forumite
    Tenth Anniversary 1,000 Posts Photogenic Name Dropper
    From what I've read of it...it includes the word "may" quite a lot.

    So there is undoubtedly a gap between what they could do, or will do.

    Depending on which way political winds are blowing.
    How's it going, AKA, Nutwatch? - 12 month spends to date = 2.60% of current retirement "pot" (as at end May 2025)
  • Do we know when this bill will come into effect?

    I have been thinking of downsizing to a smaller house, but if this comes into effect, I may better off staying put rather than risk a 15k fine.  I don't want heat pumps as I don't think they will work properly in my house so would be a waste of money. 

    I suppose I could use plug in oil filled radiators if I stay here. I'm not sure of the best way forward when it comes to using hot water though.

    I feel really angry at this insane bill though.  Heat pumps aren't suitable for all properties!  


  • born_again
    born_again Posts: 20,437 Forumite
    10,000 Posts Fifth Anniversary Name Dropper
    I have been advised that the energy bill was passed through the HoCs last week, and I've heard/read the following:

    a) if a landlord or if an owner who doesn't have a heat pump wants to move then you can be fined £15k or face 6 months in prison.

    b) I'm not sure if this was passed last week or not, but you have to have a smart meter installed.  I have been told this is likely wanted to be to help manage the grid ie. they can turn off the power if they need to.  I have also heard they want this to monitor/track usage, and what devices you are using.

    I can't believe all of this is true - so would appreciate any clarifications/feedback from some of the experts here.  Having to have a heat pump seems the most bonkers considering that a number of buildings in the UK aren't suited to using this technology.

    Also, if this summary is 100% true, when does it come into effect?  


    Which also works in reverse, such as Intelligent Octopus where you can get cheap overnight rate 7.5p electric when they decide that there is surplus energy. Happens quite often as well in peak times (18:00 to 20:00)
    So it not all doom & gloom with smart meters 👍
    Life in the slow lane
  • What are people in flats meant to do btw?
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    1,000 Posts Third Anniversary Name Dropper
    edited 10 September 2023 at 12:35PM
    I'm not sure if this was passed last week or not, but you have to have a smart meter installed.  I have been told this is likely wanted to be to help manage the grid ie. they can turn off the power if they need to.  I have also heard they want this to monitor/track usage, and what devices you are using.

    With respect, what you have heard is incorrect. Yes, smart meters have remote disconnection devices built into them but suppliers cannot disconnect a supply without following statutory disconnection procedures which includes getting a Court Order. Where power cuts are needed because of a lack of supply this will be achieved by DNO region with pre-notified disconnections for ALL consumers on a rota basis.

    In most countries, smart meter disconnection devices are used by mutual consent. A consumer agrees to a power-limiting tariff at certain times of the day. The lower the agreed power limit, the lower the daily standing charge. For example, if I agree to a 5kW limit from 4 to 7pm each day and I turn on the kettle and the oven at the same time, I will exceed the contracted power limit. The supplier will then notify me by text; IHD message etc instructing me to reduce power (ie; turn something off). If I ignore these messages, then my supply will be disconnected. I can get reconnection by calling a National phone line. Frequent breaches will result in me being moved to a higher power tariff at a higher cost. Look at France and Spain for tariff examples.

    There is no way that any supplier can track device use via a smart meter. The default profile for smart meters is now 30 minute usage. To recover this data, suppliers carryout ONE data pull every 24 hours which returns midnight index readings and an XML file which contains 30 minute usage data in kWh- not kW. This data is needed because our supply of electricity has become much more variable than was the case 20 years. To avoid us all having to pay for unnecessary standby generation, the Grid needs to have as much profiled energy use as possible to better match supply with demand.

    Mandatory smart meeting is long overdue. France has already made smart meters mandatory (as have some other countries) and Germany will do so from 2025. Consumers who refuse smart meters in France are now ‘fined’ by paying a much higher standing charge: this ‘fine’ will be increased each year.

    EDIT: An example of a French power-limited tariff: (for kVA read kW)



  • dunstonh
    dunstonh Posts: 119,676 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    If that wasn't bad enough the bill also stipulates that SMART meters will become mandatory, letting slip the real reason they have been pushing them so hard.
    Having a smart meter will help tenants who forget to take reading on entry/exit.

    Smart meters should be mandatory.  It should open up the marketplace for a greater range of tariff options.  So, more follow the likes of Octopus.

    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    1,000 Posts Third Anniversary Name Dropper
    edited 11 September 2023 at 10:01AM
    (Removed by Forum Team)
    Countries across the World have made smart meters mandatory because they are a vital part of what is known as a Smart Grid. Put simply, we have to find better ways of managing constantly variable supply with demand. As posted above, rather than look at what suppliers might do, look at what they are doing. Consumers are able to buy gas and electricity at prices well below the Ofgem Cap by avoiding times of the day when prices are high due to consumer demand. Yes, it might be convenient to put the dishwasher on at 6pm but if the price is 50% lower at 8pm it makes sense to do it then.

    No one is controlling anything without the consumer’s knowledge. For example, an EV owner might want 20kWh of charge overnight for his/her daily commute. Octopus will now choose which 6 by 30 min periods offer the cheapest prices (which usually are periods of low demand). The EV owner gets a charged car in the morning and the lowest cost, and the Grid owner doesn’t  have to pay a constraint payment to a wind farm owner. It’s a ‘win win’ situation.
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