Heat network/ Bulk energy standing charges

pcornall

We live in a large rental apartment complex where all the eletricity is supplied by one company. Residents cannot switch and it is a bulk energy supply, meaning no regulation or price cap. Our current fixed tariff is a daily standing charge of 102p a day which is over double what most domestic electricity users pay.
We are challenging the fairness of this charge with the company that owns the building and they have asked for comparative rates charged to other domestic complexes.
Therefore, I was wondering if anyone could share examples pf standing charge rates they are paying if they're currently tied into either a heat network or similar bulk energy supplied housing complex?
Thanks a lot.

BellaBlondykeTheThird

Just go and get quotes from the big energy suppliers online for your postcode and address.

That way it matches your location and property for evidence.

Robin9

Bella - I think you misunderstand @pcornall  who I think is looking for info from people in a similar situation - ie charged by their landlord for heat and light rather than how much Eon or whoever might charge on their published tariff.

QrizB

I know you are concerned about the standing charge, but what's the corresponding unit rate? If you're saving a few pence per kWh vs. a typical domestic tariff your total bill might not be any worse.

pcornall

Thanks for the replies. I can't see what other tariffs are for similar situations as these will be business rates (despite it being used for domestic purposes) due to the contract being between energy supplier and the owner of the building. It's harder to find comparible tariffs online, hence asking if anyone is in a similar position and could let me know what their tariff says.

The unit rate is broadly in line with most domestic tariffs, just a little higher, so not saving on that.

Xbigman

Does the standing charge include maintenance of the system and replacement when it wears out. If it does the extra 50p a day with domestic level unit rates looks a bargain.


Darren

Scot_39

Do a search for heat network prices here on mse or Web.

Here is one such post on mse re EOn Heat https://www.eonenergy.com/heat/home.html

Note that is not the same division of EOn corporate as EOnNext the standard domestic supplier.

And from the bill posted here by the OP for that thread - a user switching tariff from vn 3 to vn 4 having talked to tied supplier

https://forums.moneysavingexpert.com/discussion/6450639/price-trippled-w-eon-please-help-bill-included

That is sadly often likely the only option you have - to ensure you are on the best rate with the one tied to your building supplier.  If as in many cases the heat network co actually owns the boilers etc that generate the hot water.

In that case from example bill looks like the OP saved c4.8p / kWh - from 17.8 to c 13p by switching to vn 4 , but the SC was up by c3.7p from 135 to 139 ex vat in May last year.

(That's more expensivethan domestic rate gas but a lot less than electric - apart from best e7 rates (and those come with much much higher daytime use rates and only get cheap rate for 7 hours - so ideally needs storage heating ))

And the company faq says they fix annually from Apr 1st.

That SC is significantly higher than the 102p you quote.


Ignore any attempt to compare Ofgem sort of normal domestic supply rates - they simply do not apply.

Just as they don't to business contract rates.

And although Ofgem are looking into heat networks regulation - its likely going to be over a year before the outcome from recent consultation.

Scot_39

pcornall said:

Thanks for the replies. I can't see what other tariffs are for similar situations as these will be business rates (despite it being used for domestic purposes) due to the contract being between energy supplier and the owner of the building. It's harder to find comparible tariffs online, hence asking if anyone is in a similar position and could let me know what their tariff says.

The unit rate is broadly in line with most domestic tariffs, just a little higher, so not saving on that.

Sorry misread your post.

So you are on business rates you pay for all the electric that covers everything. 

The above EOnHeat linked figures quote was for a heat network - for hot water and heating only.