[sc489]

I was astonished to see on my last bill that the unit price charged increased on 1st Jan from 47.7 p/kWh to 62.19 p/kWh (excluding VAT) which is a significant increase of 30.4%. My online account still shows the unit price of 47.7 p/kWh. I'm on the standard NextFlex tariff.

EON Next has failed to explain the reason for this significant increase in unit price and should have advised customers of the significant price increase. Why does my online account still show a unit price of 47.7 p/kWh?

[DebF_EONNext]

Morning @sc489,

I completely understand your frustration here and how this can be a bit confusing, there was a price cap review on 1st Jan you can find out more about this 👉 HERE 👈.

Having looked at your account the 62.19p kWh is the price before the EPG has been deducted. If you take a look at the breakdown on your bill you will see that there has been a deduction of 31.84p p/kWh for Energy Price Guarantee which brings your price down.

There will be another review in April however at the moment we haven't had any further information on this as this hasn't been announced yet going forward however as soon as we have any updates we will let people know.

[meldrewreborn]

@sc489

please refer to your other post on same topic. It’s entirely conceivable that your net price has actually gone down a tiny bit.

[meldrewreborn]

Originally Posted by DebF_EONNext

Morning @sc489,

I completely understand your frustration here and how this can be a bit confusing, there was a price cap review on 1st Jan you can find out more about this 👉 HERE 👈.

Having looked at your account the 62.19p kWh is the price before the EPG has been deducted. If you take a look at the breakdown on your bill you will see that there has been a deduction of 31.84p p/kWh for Energy Price Guarantee which brings your price down.

There will be another review in April however at the moment we haven't had any further information on this as this hasn't been announced yet going forward however as soon as we have any updates we will let people know.

The government has already announced that the EPG level will be raised from £2500 to £3000 from April. Most customers will then face increases of 20% or thereabouts. While the prices levied by suppliers will not be known for some time, we know that after the application of the EPG discount prices will be sharply up for most people.
Of course we might have had more changes to the EPG by April, and two more prime ministers. But it doesn’t help customers to ignore the information that is already out there - does it?

[MAW]

Im ripping out the smart meter. Dont trust it. Get an analogue meter. They cant fiddle with that.

[MAW]

@sc489

Im on the same tariff as you, here are my rates on their website...

Day rate
50.53 p/kWh (previously 44p)


Night rate
21.03 p/kWh (previously 17.5p so a MASSIVE rise in % terms)


Standing charge
44.66 p/day


(All rates inc. VAT)

But they seem to be able to just make it up as they go along. Wholesale energy is now cheaper than before the Ukraine crisis was first used as an excuse to rip us all off. Cant trust a word they say.

[retrotecchie]

@MAW

The wholesale energy they are using now is not bought on a daily basis but six months to a year ahead. Those tariff rates are the actual prices per unit. Before the EPG is applied. That brings the bottom line price to what it was pre Jan 1st. The cannot charge what they like. They can only charge what OFGEM say they can charge. It's not a 'guideline', it's a legal limit.

[MAW]

yes I know about the forward buying. so we should see a massive, huge, unprecedented, never before seen drop in gas and electricity prices in about 4 months, right?

[retrotecchie]

@MAW

Assuming the rates remain at around the same 175 pence or so a therm, then around Q3 we should see prices come back down again. If they go up again for any reason, then perhaps not so. Two years ago energy was about £1 a therm. Five years ago, nearer 30p. So prices won't plummet to where they were back then, but will go back to where they were perhaps a year ago. In Q3 of 2022, prices peaked around 800p a therm. Luckily we only generate 42% of our electricity from gas, and this percentage is dropping year on year as more wind power comes on stream.

Once the government address the issue of generators being paid their costs plus a profit margin, rather than everyone being paid the highest market rate, that will help massively.

Wind power works out at roughly 12p per kWh, but they are paid the same as the highest cost which is currently gas. It wasn't a problem until the gas prices rocketed.

Anyway, things will likely settle down again, but probably not until September.

Right now, wind is providing the bulk of electricity generation, but at gas prices.

https://grid.iamkate.com/

[Mailman]

Originally Posted by retrotecchie

@MAW

Assuming the rates remain at around the same 175 pence or so a therm, then around Q3 we should see prices come back down again. If they go up again for any reason, then perhaps not so. Two years ago energy was about £1 a therm. Five years ago, nearer 30p. So prices won't plummet to where they were back then, but will go back to where they were perhaps a year ago.

Interesting to see the latest from Cornwall Insight suggesting that we might see Q3 price cap predictions dipping below the £3000 level that most will move to in Q2 although still higher than the current EPG levels.

Given what has happened since prices starting to increase in the summer of 2021 (surpassing £1 a therm) and the volatility of the world in general, I doubt that the sort of bills we used to have will ever return.