can sone please explain electricity prices p/kwh to me?

branston

I have just gone onto UK power to try and save money by switching my electricity and gas.

Gas isnt coming up that different, but electricity is;

i am currently with Eon and pay £51 a month (£600 odd a year)
their charges are
primary unit rate 16.18p/kwh
secondary unit rate 9.01p/kwh

according to UK POwer British Gas would save me £151 a year but looking at the tariff thier rates are
primary 23.6p/kwh (first 500 units)
second 7.27p/kwh (there after)

how is therefore cheaper if the pence per k/wh is more?

i really dont understand much about this, really want to switch but am getting myself in a right muddle!

can anyone advise whether this switch seems a good deal or not?
also on my Eon bill it states "we are still cheaper than British Gas on paying by monthly DD (which I do)

many thanks

penrhyn

The British gas quote becomes cheaper after the first 500 units, then it becomes progressively cheaper.
I assume its one of BGs online accounts that you were looking at.

Cardew

It all depends on how much electricity you use.

You haven't said for E-ON how many primary units per year.

So let us assume that E-ON are like BG and charge you for 500 primary units per year.

If you use 2,000 units(kWh) a year - a low user - you will pay for 500 primary units and 1,500 secondary units and pay £216 for E-ON and £227 to BG

If you use 5,000 kWh per year - a high user - you will pay for 500 primary units and 4,500 secondary units and pay £486 for E-ON and £445 to BG

The above is using your prices and ignoring discounts.

However if E-ON charge for 900 primary units per year then they cost another £28 per year.

Lastly E-ON like everyone else who compares their price with BG always uses BG's standard tariff which is their most expensive.
BG's Click 5 tariff which is an internet account is much cheaper than their standard tariff and quite competitive.

branston

penrhyn wrote: »

The British gas quote becomes cheaper after the first 500 units, then it becomes progressively cheaper.
I assume its one of BGs online accounts that you were looking at.

it was yes. are they any good? i really dont know much about this.

thanks

branston

Cardew wrote: »

It all depends on how much electricity you use.

You haven't said for E-ON how many primary units per year.

So let us assume that E-ON are like BG and charge you for 500 primary units per year.

If you use 2,000 units(kWh) a year - a low user - you will pay for 500 primary units and 1,500 secondary units and pay £216 for E-ON and £227 to BG

If you use 5,000 kWh per year - a high user - you will pay for 500 primary units and 4,500 secondary units and pay £486 for E-ON and £445 to BG

The above is using your prices and ignoring discounts.

However if E-ON charge for 900 primary units per year then they cost another £28 per year.

Lastly E-ON like everyone else who compares their price with BG always uses BG's standard tariff which is their most expensive.
BG's Click 5 tariff which is an internet account is much cheaper than their standard tariff and quite competitive.

Eon dont say how many primary units, not on my bill anyway, so i dont know when it changes.

also how do i work out my usage per year, do i just add up the amount from each quarter over a year?

if this is the case,
Feb 07 212kw at 16.6p
947 kwh at 9.42p
Aug 07 207khw at 16.6p
860 kwh at 9.01p
Nov 07 232 kwh at 16.18p
879 at 9.01p
Feb 08 210kwh at 16.18p
1105kwh at 9.01p

total kwh is 4652 kwh per year

click 5 tarrif is the one i think i was looking at- the online one,
based on the above would it still be worth me changing?

many thanks for your help.

stewie_griffin

branston wrote: »

Eon dont say how many primary units, not on my bill anyway, so i dont know when it changes.

Chances are it will be 900kWh per year as this is the threshold for all of their tariffs except one (EnergyGuarantee). Do you know which tariff you are on at the moment? Also when comparing tariffs don't forget to include any discounts you receive such as for paying by direct Debit or having an online tariff.