The Queen’s speech (18.11.09) unveiled plans by the Government to provide more help for the most vulnerable households in the UK with their energy bills.
The new revised Energy Bill will look to bring legislation forward that will make the energy companies offer rebates to the poorest households. This move doesn’t require any further money from the public purse, as the funding will be provided by the energy companies themselves (with £150m already earmarked for 2010/2011).
Although this legislation has been roundly welcomed by charities such as Age Concern and Help the Aged, it is long overdue. This is especially the case as within the previous few weeks both British Gas and Scottish & Southern Energy have reported huge profits for the year. British Gas in particular is expected to announce an increase in profits for Centrica (the residential utility branch of the company) of £541 million – up from £379 million reported last year.
Despite the fall in wholesale energy prices, which have dropped by 50% since their peak during the summer of 2008, the effects have yet to be passed onto consumers, with some energy providers suggesting that prices may go up; demonstrating that now is the time to compare energy prices and reduce your gas and electricity bills.
Chris Eagle, commercial manager at Energychoices.co.uk, commented that: “Surely, the fact that energy companies are making such profits shows that they are benefiting massively from reduced wholesale prices. It’s easy to feel powerless when faced with the ‘big six’ energy corporations, but the one thing you can do to make a difference is vote with your feet.”
Energy Efficiency measures are one way in which you can reduce the cost of your household bills but, even though British Gas’ 15.7 million customers have reduced their consumption by approximately 7% this year, the cost that they pay per Kwh is still making the biggest difference to their bills.
Chris Eagle comments further that: “Don’t stay loyal to an energy company for the sake of convenience – compare gas and electricity prices and switch to a better deal now.”
Posted under Cheaper Energy
This post is a Blogger on November 20, 2009
