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Standing Charges on Utility Bills

(30 Posts)
maytime2 Mon 02-May-22 09:23:27

I received my latest utility bills on Saturday from Coop/Octopus Energy. It was quite easy to do a comparison as the bill had been split into two halves 20th March - 2nd April and 2nd April - 28th April.

Electricity Standing Charge
Was 19.6p per day Now 45.60p per day

Gas Standing Charge
Was 22.71p per day Now 25.92p per day.

With such a whooping increase in the electricity bill how can we hope to economize our usage. Our electricity bills are more or less the same all year round unlike the gas, so how on earth can we cut down.
No one has yet explained to me the reason for such a huge increase in the standing charge.

biglouis Wed 04-May-22 13:23:07

No doubt to pay the shareholders their 30 pieces of silver as well! Just another way to scam the consumer.

Esspee Tue 03-May-22 10:32:19

My standing charges are 49p/day for electricity and 26p/day for gas. I am in Glasgow and we are with Eon next.
Our tariff ended at the beginning of the year when according to Money Saving Expert we would be better not to take on another contract but pay the price cap.
We are being charged 27p/KWh for electricity and 4p/KWh for gas. I suppose that is the price cap?
I really need to re investigate this and shop around. Any advice or suggestions are most welcome.

Shinamae Tue 03-May-22 10:02:02

LizzieDrip

^The increase in standing charges is to compensate the companies who had to take on the failed ones

So lets get this right. Private companies who were poor at business went bankrupt. The existing companies gained a whole lot of new business and WE have to pay THEM for that?

This is something that needs looking into.^

This is correct! I was so fuming about the increase in the daily standing charge that I emailed Ofgem asking for an explanation. They confirmed that ‘part of’ the increase is indeed to pick up the mess (my word, not theirs) left by the inept energy companies going bust. These were companies that should have been properly regulated by Ofgem - the energy regulatory body - and were not! Recently there was an excellent investigative programme on TV examining this issue. It was either Panorama or Dispatches - can’t remember which. It was eye-opening! So, the increases in standing charge and cost per KWh are NOT wholly due to global energy prices / war in Ukraine / infrastructure, despite what we are constantly being told. We, the consumer, are paying for the failed business model of allowing energy to become ‘fair game’ on the open market in the UKangry. NATIONALISE, so there’s one price for all, and we pay for what we use, not for the abject failure of private companies - personally, I prefer that as a business model!

??????????

LizzieDrip Tue 03-May-22 09:53:00

^The increase in standing charges is to compensate the companies who had to take on the failed ones

So lets get this right. Private companies who were poor at business went bankrupt. The existing companies gained a whole lot of new business and WE have to pay THEM for that?

This is something that needs looking into.^

This is correct! I was so fuming about the increase in the daily standing charge that I emailed Ofgem asking for an explanation. They confirmed that ‘part of’ the increase is indeed to pick up the mess (my word, not theirs) left by the inept energy companies going bust. These were companies that should have been properly regulated by Ofgem - the energy regulatory body - and were not! Recently there was an excellent investigative programme on TV examining this issue. It was either Panorama or Dispatches - can’t remember which. It was eye-opening! So, the increases in standing charge and cost per KWh are NOT wholly due to global energy prices / war in Ukraine / infrastructure, despite what we are constantly being told. We, the consumer, are paying for the failed business model of allowing energy to become ‘fair game’ on the open market in the UKangry. NATIONALISE, so there’s one price for all, and we pay for what we use, not for the abject failure of private companies - personally, I prefer that as a business model!

Shinamae Tue 03-May-22 09:27:15

I’m in the Southwest so according to that map very high charges for me ?

maytime2 Tue 03-May-22 09:21:27

A thank you to all of you who have been so kind as to look up information re standing charges.
I live on the coast in South West Wales in a town that used to be the last town of industrial South Wales so not out in the countryside and yet we are paying so much more than other areas. But when I read Fleur's post I see that she is penalised even more.
This cannot be fair.

Fleur20 Mon 02-May-22 19:12:53

The map is not accurate.. my standing charge has gone from 27.48p per day to 50.14p per day.
Short of changing my entire heating system I have no alternative to SSE and I cant afford to do that.

Oopsadaisy1 Mon 02-May-22 19:11:30

I’m with Ovo for Electricity

Standing charge at 24.57p per day

Energy use charge kWh at 24.47p

We don’t have gas in the village and our heating is Oil.

Casdon Mon 02-May-22 18:19:28

If the standing charge map is right, it’s about £30 a year more for Wales than the South East. It’s a price I’m prepared to pay as I love where I live in mid Wales and in fairness I can understand that it’s harder to provide power to the sticks - we have no gas either, although I’m lucky enough to have a log burner. I’m a lot more resentful about paying more for petrol and diesel when the tankers drive past us to deliver fuel elsewhere in the country, that is very unfair.

Shandy57 Mon 02-May-22 16:57:26

I have thought of having the chimney opened Chestnut, but my attached neighbour who has an open fire said the draw is bad because being a bungalow, the chimney is short. I've had the house full of eye watering smoke before, don't fancy that again! Joking apart, the station owners were burning the furniture, we found some lovely pieces of antique furniture in the wood store when we moved in. Hard times.

Chestnut Mon 02-May-22 14:07:36

Shandy57

I've got the heating off here today, grey and miserable outside, it's 16.9 in here, I've got my jacket on, a scarf and big slippers. I used to moan about carrying the wood up the steps for the woodburner but wish I had one now.

We'll have to knock our chimneys out and start burning the furniture. That won't apply if you live in a new build of course ..... no chimney!

Calendargirl Mon 02-May-22 13:50:13

biglouis

*The increase in standing charges is to compensate the companies who had to take on the failed ones*

So lets get this right. Private companies who were poor at business went bankrupt. The existing companies gained a whole lot of new business and WE have to pay THEM for that?

This is something that needs looking into.

Because the wholesale price of energy has risen so much, I assume with the price cap, the energy companies are not making the same profits, probably supplying at a loss to themselves.

Shandy57 Mon 02-May-22 13:33:39

I've got the heating off here today, grey and miserable outside, it's 16.9 in here, I've got my jacket on, a scarf and big slippers. I used to moan about carrying the wood up the steps for the woodburner but wish I had one now.

Chestnut Mon 02-May-22 12:52:51

Goodness knows what it will be next winter. I will really have to freeze.

Chestnut Mon 02-May-22 12:51:54

I have relatives in Cornwall and North Wales, friends in Devon, so I really feel for them.

My latest bill for the month of April when the heating was on only half the time, set at maximum 19C (so not very hot):
One month:
Electricity: £60
Gas: £110
Total: £170

FarNorth Mon 02-May-22 12:11:35

Thanks Shandy57.

So it looks like there is a bit of sleight of hand going on and we just have to lump it.

Fleur20 Mon 02-May-22 12:09:48

Standard energy..32.51p per kWh
Heating control..23.89p per kWh
Standing charge.. 50.14p per day
SSE... north west Scotland..
No gas supply in this area

Shandy57 Mon 02-May-22 11:50:33

I can't find the original poster's link, but this link is very informative.

www.bbc.co.uk/news/business-60878314

muse Mon 02-May-22 11:44:41

Ofgem puts the increase in the standing charge cap down to rising costs for energy network maintenance, costs of government initiatives like the Warm Home Discount and the increase in energy suppliers going bust.

biglouis Mon 02-May-22 11:43:35

The increase in standing charges is to compensate the companies who had to take on the failed ones

So lets get this right. Private companies who were poor at business went bankrupt. The existing companies gained a whole lot of new business and WE have to pay THEM for that?

This is something that needs looking into.

Shandy57 Mon 02-May-22 11:38:21

Where are you maytime2? Someone posted a very useful regional cost article on a post a few weeks ago, the daily standing charge for both gas and electricity does vary across the UK. I'll try and find it.

tanith Mon 02-May-22 11:35:10

That’s per day

tanith Mon 02-May-22 11:34:45

I’m also with Octopus and mine are now

Electricity 29.96
Gas 24.86

They went up in November when my fixed deal ran out and I fixed again.

maytime2 Mon 02-May-22 10:24:22

I've since spoken to my daughter about this and she says that the standing charges vary throughout the U.K. We live in Wales, so of course, once again, we pay through the nose for something.

Calendargirl Mon 02-May-22 10:07:16

The increase in standing charges is to compensate the companies who had to take on the failed ones.

That’s what I read recently.