Fuel Poverty Action’s ‘Bin British Gas’ Protest

Fuel Poverty Action’s ‘Bin British Gas’ Protest

Source - Beastrabban\'s Weblog

http://beastrabban.wordpress.com/2014/05/04/fuel-poverty-actions-bin-british-gas-protest/


Next Monday the 12th May, Fuel Poverty Action will be holding their ‘Bin British Gas’ Protest at British Gas’ AGM at the QE2 Conference Centre at 1.00 in London.

They invite people to bring pots, pans and other noise makers to protest against high bills and the companies ecologically-unfriendly activities.

See their page on Facebook: https://www.************/events/298008930323898/.

 

Gas and electric - How the new daily energy charges can cause bills to double

Source - http://www.thisismoney.co.uk/money/...-daily-energy-charges-cause-bills-double.html


Vulnerable households could see their gas and electricity bills more than double this winter because of a change in the way they are billed.

From the end of the year, all households will pay a flat rate for each unit of energy they use, plus a separate fixed daily standing charge.

But worried pensioners have told how this rule — being forced on the energy giants by regulator Ofgem — will leave them substantially worse off than under the current system.

At the moment, customers pay a higher rate for the first few units of gas and electricity they use — and then a cheaper rate thereafter. Though the system is complicated, it does mean that everyone pays only for the energy they use.

With the new standing charges, everyone has to pay a set daily fee no matter what they consume. As a result, lower users are likely to pay significantly more.

British Gas customer Rosalind Gold last year spent just £30 on gas as she uses it only for cooking. When the new charge comes in next year, she will have to pay £114 — a 280 per cent increase.

Ms Gold, who is retired and lives in London, paid 8p for every unit of gas she used. But with the new standing charge she’ll pay 26p a day standing charge plus 5p per unit. ‘I had no idea about the change until I received a letter last month,’ says Ms Gold.

‘I was very shocked and more than annoyed. It feels as if they are just marching into my purse and helping themselves to what they feel like for no additional benefit.

‘I’m fortunate in that I can afford to pay the increase in the standing charge, but what about all those people out there who are struggling to pay the bills?’

Ms Gold’s neighbour also uses gas only to cook with and will see her bill rise from £97.51 to £192.41. The shambles raises fresh concerns about the attempts by Ofgem to simplify energy bills.

Energy firms have recently blamed cuts to discounts and special social tariffs on the regulator. Ofgem has put in place new rules to cut down on the dozens on the tariffs firms can offer. It also wants bills to be simpler.

Yet despite warnings that vulnerable households who use small amounts of energy could be worse off, it does not know how many low users there are in the UK. Ofgem says there is nothing to stop the suppliers setting their standing charge at zero if they want.

As yet only Utility Warehouse and Ebico have done this. Scottish & Southern Energy has a £100 standing charge a year for each fuel. Those who pay by direct debit will get a £40 discount, while those who opt for paperless billing will get a further £6 off.

Npower will levy a £100 standing charge for gas and £40 for electricity. Those who pay by direct debit will again get a discount — £50 for gas and £40 for electricity reducing the charge to £50 and zero.

Scottish Power will hit its customers with a £100-a-year standing charge per fuel regardless of how they pay.

It’s not just the lower users who will be penalised. Those with second homes or outhouses with a separate power supply will also end up paying more. And pre-payment customers will need to ensure they keep enough credit on their meters to cover these charges.

Caroline Abrahams, charity director for Age UK, says: ‘We know that standing charges are not popular with older people who are low energy users.

‘We are urging these people to take action when they receive their personalised energy bills so that they can make an informed choice about the tariff they want to be on.’

A spokesperson for Ofgem says: ‘We are confident that these changes will make it far easier for people to find the best deal for them.’