Abolish standing charges

Gas and electric standing charges are regressive. They penalise the poor at the expense of the profligate. Taxes aren't levied with a standard charge per household so why should energy charges? Increase usage charges to cover the shortfall but abolish standing charges.
Basically the poor are currently subsidising the rich. Abolish standing charges.
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  • 400ixl
    400ixl Posts: 2,651
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     Taxes aren't levied with a standard charge per household so why should energy charges? 
    What is Council Tax then?

    Shifting the standing charge to the unit rate will likely disadvantage the poor more.
  • Hoenir
    Hoenir Posts: 1,270
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    Basically the poor are currently subsidising the rich. 
    Standing charges are levied per property / per single supply. The rich (at least those you appear to be taking a swipe at) correspondingly will already being paying more. By having more than one. 
  • mmmmikey
    mmmmikey Posts: 1,594
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    Great, another standing charge thread. Could you hang on a minute? I'm just going out for some popcorn before settling down to enjoy the argument....
  • Gas and electric standing charges are regressive. They penalise the poor at the expense of the profligate.
    They do not penalise the poor, nor do they benefit the profligate. Standing charges represent the costof providing a connection to the network, per kWh charges represent the cost of the energy, the system is rational and has no cross subsidy, no one is penalised, no one benefits.
    Taxes aren't levied with a standard charge per household so why should energy charges? 
    Standing charges are not a tax, they are a charge to cover the fixed cost of being connected to the network, everyone who had a connection pays, so they are ultimately fair.
    Increase usage charges to cover the shortfall but abolish standing charges.
    This would result in an increase of around 7p per kWh, the net beneficiaries would be people with solar and batteries, the main loosers would be anyone with electric heating which is often in rented and social housing and high users who are often the elderly and the disabled. 
    Basically the poor are currently subsidising the rich. 
    At the moment no one is subsidising anyone, all charges are rational. You proposal would mean that there would be a subsidy from high users to low user, which likely means a subsidy of the less well off (pensioners and disabled people at home all day, renters, those in poorly insulated homes etc.) to the well off (with solar and batteries), hardly a sensible system.
    Abolish standing charges.
    I am not sure how you think posting on an internet forum is going to achieve that, but as it is awful and irrational idea that is hardly a negative.
  • MikeJXE
    MikeJXE Posts: 3,033
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    I had to laugh when I spotted this post come up about an hour ago, there were no replies then

    I thought it won't be long before the big guns come over the hill
  • Netexporter
    Netexporter Posts: 1,044
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    I managed to resist the tempta....

    D'oh!
  • snowqueen555
    snowqueen555 Posts: 1,519
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    edited 30 November 2023 at 11:42PM
    I do think the companies should in theory use profits to maintain the network, or it should be rolled into the kwh charge so that people who use more energy have to pay more, and those who use less should be rewarded with a lower charge. Other suggestions I would advocate is a discount for single person households much like council tax.

    It funds other bull---- which I don't think they should do, such as the meter inspectors,  grant schemes, bailouts for failed suppliers.


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