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'Unfair' standing charges need to go: MPs back Martin's and MSE's calls for energy bill overhaul

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  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    1,000 Posts Third Anniversary Name Dropper
    edited 26 September 2023 at 3:25PM
    There is a way to reduce standing charges that is fair on all consumers. Suppliers should offer power-limited tariffs with lower standing charges as is the situation in France:



    Note: this has nothing to do with how much energy a consumer uses (kWh) but how much instant power (kW) a consumer wants from the Grid. For kVA, read kW.
  • Scot_39
    Scot_39 Posts: 3,501 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper
    edited 26 September 2023 at 3:54PM
    Does anyone know when the SoLR costs will work their way out of the standing charge? That should bring the rate down by good amount.
    The SoLR charges were over £60 last year - and sure read that was split almost 50% electric SC and 50% gas unit rate.

    Despite that £40+ drop - network non slr charge went up by more.

    So next April at earliest. 

    But govt sitting on debt from late and too big to offload failures like Bulb still iirc.   


    If the 50:50 true that £19 is say £10 in c£200.

    And CI were forecasting an 8p rise - £30pa - to electric SC in Q2/Apr24.

    It will need a major policy shift by govt / Ofgem.

    And if govt cared about - low users - if wouldn't be hiding behind the £424 cap drop to prevent repeat of a targeted ebss to many low users -who don't save that £424 - particularly all electric - who's rates only dropped c10% cf gas 27% in July. My net bill effectively increased c£300 in Jul as a result.
  • Scot_39
    Scot_39 Posts: 3,501 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper
    edited 25 October 2023 at 9:41PM
    Dolor said:
    There is a way to reduce standing charges that is fair on all consumers. Suppliers should offer power-limited tariffs with lower standing charges as is the situation in France:



    Note: this has nothing to do with how much energy a consumer uses (kWh) but how much instant power (kW) a consumer wants from the Grid. For kVA, read kW.
    Doesn't work for those with electric heating unless the MR electric reflects the same allowances as gas.

    An all electric decent sized home het conventionally - say on e7 could get fairly well up  that table.


    I get to 12 kW+ regularly with one large,2 small nsh and immersion heater.
  • Arguably, those with heat pumps; storage heaters; EV chargers etc will make the greatest demand on the Grid. Clearly, the French Government has decided that consumers in these categories should pay more in standing charges.
  • The 18kVA deal is roughly the equivalent of a supply with a 80A main fuse that would probably granted G99. So that would cost about £70 more than I pay Octopus. I'd still regard that as value for money, of there were equivalent TOU/export tariffs and overall that looks fairly equitable. Somebody with modest energy requirements would be quids/euros-in.
  • [Deleted User]
    [Deleted User] Posts: 0 Newbie
    1,000 Posts Third Anniversary Name Dropper
    edited 25 October 2023 at 9:41PM
    Arguably, those with heat pumps; storage heaters; EV chargers etc will make the greatest demand on the Grid. Clearly, the French Government has decided that consumers in these categories should pay more in standing charges.
    I think the point is that more people on E7 with NSH/immersion heaters are in the categories of less well-off and more vulnerable, than people with heat pumps, EV chargers etc.  
    So we don’t want high energy users or high power users - who make the maximum physical demands on the Grid - to pay standing charges: so who does pay? The answer to dealing with the poor is to increase benefits - not try to do it by cutting standing charges.
  • Spoonie_Turtle
    Spoonie_Turtle Posts: 10,320 Forumite
    10,000 Posts Fifth Anniversary Name Dropper
    edited 25 October 2023 at 9:41PM
    Arguably, those with heat pumps; storage heaters; EV chargers etc will make the greatest demand on the Grid. Clearly, the French Government has decided that consumers in these categories should pay more in standing charges.
    I think the point is that more people on E7 with NSH/immersion heaters are in the categories of less well-off and more vulnerable, than people with heat pumps, EV chargers etc.  
    So we don’t want high energy users or high power users - who make the maximum physical demands on the Grid - to pay standing charges: so who does pay? The answer to dealing with the poor is to increase benefits - not try to do it by cutting standing charges.
    Agreed.  Benefits being inadequate has already been an issue for years - especially since they were cut and frozen in the 2010s - it's just the standing charge increasing so much recently has made people see it as more of an issue now than before. 
    [Alas the 'benefits claimants are scroungers and deserve nothing above the barest minimum to survive' view is horrendously strong still in society, and makes it look unlikely there'll ever be any real commitment to raise them to what independent charities say is a livable amount.]
  • QrizB
    QrizB Posts: 18,245 Forumite
    10,000 Posts Fourth Anniversary Photogenic Name Dropper
    edited 25 October 2023 at 9:41PM
    The answer to dealing with the poor is to increase benefits - not try to do it by cutting standing charges.
    Exactly this. If you want "the poor" to have more money, give it to them. Don't go pretending that it's somehow the fault of greedy energy companies.

    N. Hampshire, he/him. Octopus Intelligent Go elec & Tracker gas / Vodafone BB / iD mobile. Ripple Kirk Hill member.
    2.72kWp PV facing SSW installed Jan 2012. 11 x 247w panels, 3.6kw inverter. 34 MWh generated, long-term average 2.6 Os.
    Not exactly back from my break, but dipping in and out of the forum.
    Ofgem cap table, Ofgem cap explainer. Economy 7 cap explainer. Gas vs E7 vs peak elec heating costs, Best kettle!
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