BG - £10 profit from each household customer for the whole year. [19 pence per week]
I can’t think of any business with profit margins that low!
Yet the whole social media / news scene are loosing their heads
Energy Prices (Strictly NO referrals!)
- Thread starter DXP55
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I can’t think of any business with profit margins that low!
Yet the whole social media / news scene are loosing their heads
Soldato
So again, as they are struggling so much with such a terrible profit of £72,000,000 when do the lay offs start? Must be soon surely. Maybe they could ask for a government bail out.BG - £10 profit from each household customer for the whole year. [19 pence per week]
I can’t think of any business with profit margins that low!
Yet the whole social media / news scene are loosing their heads
No one is saying they are struggling
My point - what do you want BG to do?! Cut the profit for each customer by 10p per week, just think of the opportunities that will unleash
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I imagine one phone call from a customer takes their £10 profit for that customer to a loss. That's the margins we are talking about.No one is saying they are struggling
My point - what do you want BG to do?! Cut the profit for each customer by 10p per week, just think of the opportunities that will unleash
Associate
Agile dropping down near 10p/kwh later tonight...
Soldato
- Joined
- 25 Nov 2005
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They're double dipping though, they're supplying their own gas, charging a premium for the supply and then charging customers on top of that premium but fudging it in a way they can say "we only made £10 per customer at the mains" while conveniently ignoring they made £1000 (for example) per customer at the sourceMy point - what do you want BG to do?! Cut the profit for each customer by 10p per week, just think of the opportunities that will unleash
Both Centrica and BG have been transparent on their profits, tax payments and donations.
Sure, energy prices remain high, but let‘s not get carried away on the click-bait media.
Source : https://www.thenationalnews.com/world/uk-news/2023/02/16/uk-energy-company-centrica-triples-profit/
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Soldato
- Joined
- 25 Nov 2005
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They're the ones setting the prices, so while the benevolent BG "only" made £72million in profit, they can afford this because Centrica are selling billions of £ worth of profitable gas to BG, who pays for the gas in the end ? The customers so it's disingenous to say it's media click bait when the customers are literally providing billions of £'s worth of profit for Centrica's gas generation arm
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Energy producers and suppliers don’t set the gas wholesale price .
-> The producers extract the gas and sell it at the market rates to the suppliers.
-> The suppliers sell it to us, plus 5% profit
Also, Centrica cannot sell the gas it extracts to its own company (British Gas) for a rate than is preferential to the one it charges other energy companies.
Soldato
No one can really save you much at the moment. Octopus we're doing a good tracker but they've pulled it basically for new people.
My gas rate today is 6.5p/kWh on Octopus tracker for example vs 10.4p I was paying on SEG.
I like Octopus though and recommend them all the same, even if the tariff is the same price.
If you're not in a decent contract worth considering.
Grab a referral code off someone and you split £50 bill credit each as well, which is better than nothing.
Hmm thanks. So it's just a matter of getting the referral code and going on their website to check if they can offer me a better rate?
Soldato
As mentioned I doubt they currently can really, fixed deals have been rubbish for a while now. They are possibly more likely to than anyone else though in the future.
Only benefit you'd get to switching now is a small referral sum of £50, and the good feeling of moving to Octopus (from what i can tell a decent company with good support) instead of British Gas (in the headlines for ripping people off, and not that great a company to be with).
Don't want to over-promise anything here!
If you decide to switch grab a code off someone though.
I am pretty sure octopus tracker is still open. But you cannot switch to that!
What you need to do is switch to octopus first and move to the current Capped Variable Rate. Also I don’t believe you can switch supplier via octopus site atm. So what you need to do is call octopus and say “hi, I have an EV and want to switch to you”. Then they will take over your supply in a couple of days. After the switch you then call them and ask to be put in tracker rate.
Soldato
I mean it still exists but they said 6 month waiting list, which could be trying to stop people signing up just for it.
I wouldn't really call it open currently.
Soldato
Was he asking about it before? They may be honouring people who were already in progress on switches to it.
Incorrect I'm afraid mate. I shall try to help educate you in the facts, but energy supply and demand is a very complex GLOBAL picture that includes swings in weather, the economy and everything in between.
You can't just "Sell gas to different countries", because that requires infrastructure which doesn't exist (yet).
- EU Gas Demand has dropped by ~20% as Germany (particularly reliant on Russian Gas) closed large parts of it's industry, re-opened Coal power stations and more
- Gas exports from Russia to the EU have dropped by about 75%
- Russia invaded Ukraine in Feb 2022, the EU scrambled to sanction Russia in an attempt to stop the invasion
- Russian demanded payment in Rubles, not Dollars, as their currency collapsed
- After EU Refusal, Russia cut Nordstream flows to zero (blaming maintenance)
- https://www.theguardian.com/busines...-switches-off-gas-pipeline-citing-maintenance
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- It never came back online
- Explosions then rendered the pipelines physically inoperable
- The result is much less Russian gas in Europe, with nowhere else for it to go.
- https://www.naturalgasworld.com/rus...-in-2022-on-lost-european-market-share-103672
- https://markets.businessinsider.com...enue-budget-deficit-widens-ukraine-war-2023-2
- Russia doesn't have significant pipeline infrastructure (yet) to China and the far East, so has been burning large amounts of gas or cutting extraction. They've also been building new LNG terminals & liquefaction capacity to ship their gas elsewhere. But it's early days and the volumes are no where close to what was flowing into Europe via Nordstream. Most LNG ships are also European or Middle Eastern
Fundamentally, the GLOBAL supply of Natural Gas has reduced by about 25% because of Russia's war. Combine that with fears of a cold winter, EU storage not being good enough and diversity of supply (Finland, Germany, Eastern Europe..) being poor you get price rises as a result.
- Now everyone is laser focused on diversification of supply. LNG producers (America, Qatar, Canada, Australia etc) have scrambled to boost supply of their natural gas so prices have come back down again. But not to where they were.
- HOWEVER, if China's economy goes full speed, LNG markets could get expensive again in 2023
This report is good if you care about the details:
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He asked yesterday when I said they had closed. He may of enquired before though
Soldato
Yeah that's what I mean, they probably don't want to annoy people who asked about it earlier, but the 6 month thing gives new people no wiggle room.