Umm. We still talking about electric bro?
Energy Prices (Strictly NO referrals!)
- Thread starter DXP55
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Umm. We still talking about electric bro?
Associate
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Those saying government will do something I just can't see it to be honest
Soldato
Yeah cause lets listen to Ofgem again whom have shown their inept way of doing anything. Just because you are utilising less gas or electric doesn't absolve you of the maintenance of the total grid for when you do use it, the install of smart meters and such forth. Could they have a tier system where you standard charge is reduced by 10% if you are lighter user, sure. But people will never agree on what that artificial tier is.
Soldato
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having a tiered system for energy costs where 1st X KW/ a month costs an amount and then going up in tiers could work like has already been suggested...... but I am not so sure.
the premise is that all high users are rich people I presume with their 6 bed houses , hot tub and pool.
but I. not so sure. absolutely you would get more money of these people but OTOH who are more likely to have inefficiently insulated homes,. with ancient TVs using a lot of power and who are unable to afford the likes of solar and home batteries and A rated white goods etc?
it could end up that the people who would benefit most would be middle earners. I know I would definitely benefit from scrapping SC and having tiered energy costs. I have all of the above and am now a very low user (esp for 8 months of the year)....... but as much as I would love to save money, I am definitely not in the category which needs help.
I dunno, not saying I am right just putting another thought out there.
the premise is that all high users are rich people I presume with their 6 bed houses , hot tub and pool.
but I. not so sure. absolutely you would get more money of these people but OTOH who are more likely to have inefficiently insulated homes,. with ancient TVs using a lot of power and who are unable to afford the likes of solar and home batteries and A rated white goods etc?
it could end up that the people who would benefit most would be middle earners. I know I would definitely benefit from scrapping SC and having tiered energy costs. I have all of the above and am now a very low user (esp for 8 months of the year)....... but as much as I would love to save money, I am definitely not in the category which needs help.
I dunno, not saying I am right just putting another thought out there.
Soldato
Yes I have, but I'll only do it if sufficient volume is reached.No then
That's a worse way to protest. First it costs money, 2nd it disrupts the public.
I already acknowledged that it's targeting the wrong party but as there is no way to directly target the government or wholesale producers then the retailers are all there is.
If you're referring to the standing charge then perhaps you can elaborate on exactly how it's calculated then? I'm fairly sure there isn't a direct link between fixed network costs and the SC. Up until everyone was on the Ofgem calculated default tariff caps then retailers were free to set their own SC. There may be some costs that are added on after wholesale purchase such as taxes and levies that could be added directly to SC.
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Associate
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This is what I think should be done, it's not a perfect solution but it does incentivise people to use less energy, those that are wealthy will invest in solar, further reducing demand.
The issue I foresee is that it would require smart meters to work, presumably heavy users not on a smart meter will resist. I'm not sure how you get round that issue? Perhaps parliament would have to make it a law.
Soldato
My only reason for anyone suggesting a tier is that if you use more electric the maintenance is based on cycles so that increases. Not to do with the how much use based on how expected income. Unfortunately you use more then you do create more maintenance due to wear and tear.
Not saying directly fair but that why we get a flat rate in end because that is generally the more fair side to it. A three tier system possibly could be done with light, medium and high use and that SC as you drop a tier reduces by 10% as the offset to you not being the reason for the required maintenance cycle but hard where all companies would have to agree in my view on the same tier level for it not to further escalate things with issues later on.
Hard call, not the easiest but technically possible.
Soldato
The first answer is that if you don't provide a reading to the company monthly as you not on smart is that it is assumed you are a heavy user and thus paying the maximum SC rate instead. If you make the effort to show readings then they can bill accordingly.
Soldato
Not everyone with high usage is rich though. A family member has a wife who is now seriously disabled and their electricity bill is horrendous with various medical equipment, hoists etc.
Unfortunately some of the highest users are the most unfortunate.
That's why energy is so hard to 'tier'
Permabanned
It’s not hard to tier you just need to allow provisions for those that maybe are using more because they are disabled ect.
It’s prudent and financially incentivises people to use less which is better for the planet.
It’s prudent and financially incentivises people to use less which is better for the planet.
That makes billing far more complex.
Most people can’t seem to cope with Xp per kWh and Yp per day, let alone tiered pricing.
That is why the cap is always given as a flat ‘typical use’ figure which helps no one who can actually do basic maths.
Most people can’t seem to cope with Xp per kWh and Yp per day, let alone tiered pricing.
That is why the cap is always given as a flat ‘typical use’ figure which helps no one who can actually do basic maths.
Permabanned
I think we’re talking about the standing charge predominately.
It would be a nightmare.
How would you know? It would be near impossible to set up. It's not really something you can validate if someone is a high user due to medical reasons.
Soldato
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that is exactly my point. sorry if I didn't make it clear
Permabanned
It’s easy. They already use deemed averages based on No of rooms. Use that. If you have a 3 bedroom house yet use the same as a 2 bed you get charged the lower tier.
medical exemption is easy - like for disabled parking ticket ?
a cheaper rate card that could be renewed strictly once a month, and a higher rate card for any overflow use ? Google doesn't show any european countries have innovated with tiering.
short term you can just view the £400 ...£1200 govt contribution as reducing the price of those first units every month
as said, for those on monthly(smart) readings that could work, but pre-payment/poorest it would be more tricky, ...
a cheaper rate card that could be renewed strictly once a month, and a higher rate card for any overflow use ? Google doesn't show any european countries have innovated with tiering.
short term you can just view the £400 ...£1200 govt contribution as reducing the price of those first units every month
Soldato
Anyone reliant on energy for medical needs should be registered to the energy priority services register (PSR) and should therefore be able to be identified to claim additional support with energy bills on a means tested basis.
Companies and governments have got lazy with means testing and support of those genuinely in need I think.
Companies and governments have got lazy with means testing and support of those genuinely in need I think.
Permabanned
Rishi isn’t lazy he’s been working hard on reversing the flow of money to poorer communities
