OFGEM Price Cap

[nowty]

I imagine most of us have seen the news about the 50% hike in the OFGEM price cap and its been no surprise to us. When I read the OFGEM press release I tried to find the actual info on the kWh cap and the standing charge cap for gas and leccy. The kWh cap was in there but the standing charge cap was not. On TV there was an interview with OFGEM who said they was a circa £68 increase for the failure of supply companies but no info about how those costs were hidden in the actual bills. I.e. in gas or leccy kWh or the standing charges.

From OFGEM press release


I notice Martin Lewes (MoneySavingExpert) tweeted last night a simple table which included the missing info as I think he had a meeting with OFGEM yesterday. Standing charge on gas goes up about 1p and the standing charge of leccy goes up nearly 23p.

I suspect its because not everyone has gas so its the easiest way to reclaim the cash but if you were cynical, you could argue its another hidden subsidy on FF by disproportionally adding unavoidable costs to renewables.

If the table is true, one can only speculate what will happen to the rates in the near future on Octopus Go, Intelligent, etc.

Martin Lewes tweet

[Adokforme]

That's a disturbing revelation Nowty considering how the FF industry seems to get away with such huge leakages and that's even before it's gets to the combustion stage.

Climate change: Satellites map huge methane plumes from oil and gas

https://www.bbc.co.uk/news/science-environment-60203683

[ALAN/ALAN D]

Doubling the standing charge. Daily rate.

Before the Standing Charge was started. It was really good to keep an eye on the meter and try to reduce grid consumption to ZERO.

Then standing charge started. Peeded of factor. 5 out of 10

Now its being doubled. Peeded of factor. 10 out of 10

[AE-NMidlands]

At this rate forget terminating the gas supply, consider getting bigger better batteries, a small genny to top them up when solar does nothing and then go off-grid for leccy! (That would stuff us for getting our Ripple electrons though. Boo!)
It is appalling that bailing out the debts of the shark /high risk companies (without any clawback from their directors or dividends whatoever) is costing the rest of us so much.
A

[nowty]

And don't forget there will be another £40 per year to add for the next 5 years to recoup the £200 rebate we all get in October. I'm guessing that will be applied only to the standing charge for leccy too.

And that ain't cost neutral after the 5% VAT is added to it.

[Mr Gus]

Time to asset strip the failed suppliers & claw back what we can, oh wait, we cannot do that to the highly vaunted tory golden boys who were a clear sign of energy success

This has proved a very painful "free" market.

[ALAN/ALAN D]

I just got cheered up.

Ref. “ https://www.independent.co.uk/news/uk/h ... 07548.html “

Went on to “ https://www.tax.service.gov.uk/check-co ... and/search “

Mine is the highest band in the street. Yes its bigger. Why cant I get a refund to buy some more P.V.

[Bugtownboy]

And don't forget there will be another £40 per year to add for the next 5 years to recoup the £200 rebate we all get in October. I'm guessing that will be applied only to the standing charge for leccy too.

And that ain't cost neutral after the 5% VAT is added to it.

Will it be applied automatically or can households opt out ? Haven’t seen enough detail that indicates options.

Personally, I’d rather take the hit in one go - but could I trust the bu@@ers not to add the £40 in subsequent years anyway

[nowty]

I just got cheered up.

Ref. “ https://www.independent.co.uk/news/uk/h ... 07548.html “

Went on to “ https://www.tax.service.gov.uk/check-co ... and/search “

Mine is the highest band in the street. Yes its bigger. Why cant I get a refund to buy some more P.V.

In my road, almost all the properties were built by the same builder same size, but over many years.
Half are council tax D and half are E.
Mine is E.

But if I search for energy performance ALL are D, except one property which is B.
And that was before the heatpump, more PV and triple glazed windows.

Do I get a credit for doing the right thing ?.

No.

[nowty]

And don't forget there will be another £40 per year to add for the next 5 years to recoup the £200 rebate we all get in October. I'm guessing that will be applied only to the standing charge for leccy too.

And that ain't cost neutral after the 5% VAT is added to it.

Will it be applied automatically or can households opt out ? Haven’t seen enough detail that indicates options.

Personally, I’d rather take the hit in one go - but could I trust the bu@@ers not to add the £40 in subsequent years anyway

Same here, but I doubt there will be an opt out as too complicated to make it a personal thing.

Also as the number of properties rise every year, there will be folk in new properties who miss the rebate but will probably still pay the hidden payback costs plus the VAT.