Utility bill estimates.
Discussion
I have moved into a single bed flat in the last few months and am staggered at how after a few months my electricity bill estimate goes up nearly 200%.
I have moved supplier once already as I literally could not get in touch with the original one, Scottish Power it will not shock you to find out.
And since changing to a new supplier, the same thing happened, a monthly estimate of 50 odd quid a month, single guy, live alone, out all day very diligent with switching off things and plugs I don't use, no standby mode etc, even turn off the sodding router all day 5 days a week for 8 or 9 hours only thing on in house is fridge.
So, did a few readings, sent them in, first month goes by, yes, you are 19 pounds in credit, so their estimate was 53 I used the equivalent of 35 or so. On track.
then a few weeks later after another reading, same sort of usage, I get an email saying we have done calculations etc and we need to change your DD to £179 I mean I get it might need to go up over winter, but 200%, this is exactly what happened with last supplier,
My question is how on earth do they get to that figure when your first couple of months they are aware you are using LESS than they estimated, I can only think it is down to previous tenants, they do say this, but it seems they do not use IN ANY WAY the readings you have sent when you move in, they just go totally off previous tenants data, as that is a ridiculous increase.
I am obviosuly disputing this, but can anyone tell me how this estimate is done, as it surely can not be solely on my usage after a few months.
I have moved supplier once already as I literally could not get in touch with the original one, Scottish Power it will not shock you to find out.
And since changing to a new supplier, the same thing happened, a monthly estimate of 50 odd quid a month, single guy, live alone, out all day very diligent with switching off things and plugs I don't use, no standby mode etc, even turn off the sodding router all day 5 days a week for 8 or 9 hours only thing on in house is fridge.
So, did a few readings, sent them in, first month goes by, yes, you are 19 pounds in credit, so their estimate was 53 I used the equivalent of 35 or so. On track.
then a few weeks later after another reading, same sort of usage, I get an email saying we have done calculations etc and we need to change your DD to £179 I mean I get it might need to go up over winter, but 200%, this is exactly what happened with last supplier,
My question is how on earth do they get to that figure when your first couple of months they are aware you are using LESS than they estimated, I can only think it is down to previous tenants, they do say this, but it seems they do not use IN ANY WAY the readings you have sent when you move in, they just go totally off previous tenants data, as that is a ridiculous increase.
I am obviosuly disputing this, but can anyone tell me how this estimate is done, as it surely can not be solely on my usage after a few months.
I really struggle to understand the convenience and benefit of having DD's for variable utility bills, they always seem to end up in debit or credit with associated annoyances.
I much prefer to just submit a reading to my online account whenever my bill is due and then settle an accurate bill in full, doing this 4 times a year really isn't such a hardship or inconvenience.
I much prefer to just submit a reading to my online account whenever my bill is due and then settle an accurate bill in full, doing this 4 times a year really isn't such a hardship or inconvenience.
Does your new supplier have an App? You might be able to change the DD yourself in that. I’ve had something similar with Scottish in the past (same sort of situation, I think they base their estimates on average households) but under the bills section of the App you can change it, they recommend £65 I have it set at £50.
I have not got an app no, this is all from emails and sending in a few readings already, but as I said in post, it seems they have based the new DD on old usage, not in my usage, i struggle to believe I am using enough to warrant an increase from 532 to 179 pounds a month.
The previous supplier after my initial move did exactly the same so I am hoping and presuming it must all be based on old usage.
But oddly after a few readings my account was well in credit, so why bother doing that then just ramping up the DD by 200%
The previous supplier after my initial move did exactly the same so I am hoping and presuming it must all be based on old usage.
But oddly after a few readings my account was well in credit, so why bother doing that then just ramping up the DD by 200%
They all do it! They need the money at the moment!
If you don't have a smart meter then don't keep submitting readings - they will put you on a projected pricing that follows the amount they projected at the time the account was opened.
Settle up every 6 months or so with a reading (when the summer/winter has balanced out).
In the meantime you take a personal reading every month so you know you are on track but don't submit it.
If you don't have a smart meter then don't keep submitting readings - they will put you on a projected pricing that follows the amount they projected at the time the account was opened.
Settle up every 6 months or so with a reading (when the summer/winter has balanced out).
In the meantime you take a personal reading every month so you know you are on track but don't submit it.
I do the same. Got fed up with the increase in my DD when I knew I’d be massively in credit in the summer so I cancelled the direct debit with ScottishPower and now every month I submit a meter reading through my app and then pay the bill straight away so I don’t owe them a penny. It’s just much easier that way
interstellar said:
I do the same. Got fed up with the increase in my DD when I knew I’d be massively in credit in the summer so I cancelled the direct debit with ScottishPower and now every month I submit a meter reading through my app and then pay the bill straight away so I don’t owe them a penny. It’s just much easier that way
Does that not cost more? Or can you keep the DD rate (which is normally reduced due to lack to risk of non-payment)? I was meaning keep the DD running to drip feed the payment so you don't have to find the whole amount if you are over.Electric only, I don't use the electric heaters they are useless, have an oil heater that I have only just started to use, yes it is electric powered but I can have it right near me and adjust it.
All I use the power for is PC which is on all weekend and in evenings, everything powered is done in off peak such as washing and water heating. Lights etc, kettle, all normal use. Only one light on in living room etc etc, i am very careful about my power usage.
So I am presuming as I say this is based all on previous usage not on the usage my early readings have given as both companies I have used so far in 5 months have done EXACTLY the same.
I am aware that previous tenant to me has incurred massive bills, and am constantly getting debt recovery letters from credit cards and water etc.
All I use the power for is PC which is on all weekend and in evenings, everything powered is done in off peak such as washing and water heating. Lights etc, kettle, all normal use. Only one light on in living room etc etc, i am very careful about my power usage.
So I am presuming as I say this is based all on previous usage not on the usage my early readings have given as both companies I have used so far in 5 months have done EXACTLY the same.
I am aware that previous tenant to me has incurred massive bills, and am constantly getting debt recovery letters from credit cards and water etc.
Unless you have an Economy 7 meter and tariff what time of day you use the kWh doesn’t matter.
There must be a marker on the account/meter that indicates the heating is electric so they’re expecting a massive usage spike in the winter months. And utilities hate debit balances on accounts in case you move out or otherwise stop paying.
Their estimates will be be based on the average usage of similar properties - you’ll struggle to convince the utility that your usage will be much different until you have a year’s date as actual proof. By switching supplier you’re probably restarting that cycle.
There must be a marker on the account/meter that indicates the heating is electric so they’re expecting a massive usage spike in the winter months. And utilities hate debit balances on accounts in case you move out or otherwise stop paying.
Their estimates will be be based on the average usage of similar properties - you’ll struggle to convince the utility that your usage will be much different until you have a year’s date as actual proof. By switching supplier you’re probably restarting that cycle.
mike74 said:
I really struggle to understand the convenience and benefit of having DD's for variable utility bills, they always seem to end up in debit or credit with associated annoyances.
I much prefer to just submit a reading to my online account whenever my bill is due and then settle an accurate bill in full, doing this 4 times a year really isn't such a hardship or inconvenience.
Agreed. I can only think their fondness for DDs is for smoother cashflow and maybe less bad debt, as each bill is smaller. And it requires no effort from them. I only went with DDs because they had lower tariffs.I much prefer to just submit a reading to my online account whenever my bill is due and then settle an accurate bill in full, doing this 4 times a year really isn't such a hardship or inconvenience.
Every provider screams for monthly readings, the reason being 'Ooh you might be paying too much! You don't want an estimated bill!'. I told mine I didn't care as long as it was right once a year, so they could have one reading in December and work out the 2022 DD from that. To my surprise they seemed OK with it.
LukeBrown66 said:
Electric only, I don't use the electric heaters they are useless, have an oil heater that I have only just started to use, yes it is electric powered but I can have it right near me and adjust it.
All I use the power for is PC which is on all weekend and in evenings, everything powered is done in off peak such as washing and water heating. Lights etc, kettle, all normal use. Only one light on in living room etc etc, i am very careful about my power usage.
So I am presuming as I say this is based all on previous usage not on the usage my early readings have given as both companies I have used so far in 5 months have done EXACTLY the same.
I am aware that previous tenant to me has incurred massive bills, and am constantly getting debt recovery letters from credit cards and water etc.
Those oil filled electric heaters are ridiculously expensive to run. I know, I have two in a small three bed cottage. I have been monitoring my usage over the past 5 weeks as I cannot believe my bills (over £2000 pa) and last week alone I used £75 worth. All I use the power for is PC which is on all weekend and in evenings, everything powered is done in off peak such as washing and water heating. Lights etc, kettle, all normal use. Only one light on in living room etc etc, i am very careful about my power usage.
So I am presuming as I say this is based all on previous usage not on the usage my early readings have given as both companies I have used so far in 5 months have done EXACTLY the same.
I am aware that previous tenant to me has incurred massive bills, and am constantly getting debt recovery letters from credit cards and water etc.
Like you, I live alone.If you have a 1.5kw heater and it's on for 12 hours per day, that's 1.5x12x21p(say)=£3.78x30=£113.4pm. For one radiator!!!
Rufus Stone said:
Those oil filled electric heaters are ridiculously expensive to run. I know, I have two in a small three bed cottage. I have been monitoring my usage over the past 5 weeks as I cannot believe my bills (over £2000 pa) and last week alone I used £75 worth. Like you, I live alone.
If you have a 1.5kw heater and it's on for 12 hours per day, that's 1.5x12x21p(say)=£3.78x30=£113.4pm. For one radiator!!!
Look forward to the time you have to charge an EV as well... electricity will cost even more then because they won't be able to make enough of it. It will be the new oil. Like you, I live alone.If you have a 1.5kw heater and it's on for 12 hours per day, that's 1.5x12x21p(say)=£3.78x30=£113.4pm. For one radiator!!!
I'm with Octopus, currently on a tariff that is 19p kwh for electricity and 3p for gas. I thought I'd see what other tariffs were available and they came back with 31p kwh for electricity and 7p for gas. My bill would go from circa 1200 a year to 2500.
Seems insane the way things are going
Seems insane the way things are going
I am aware of these things mike as have been a single tenant for years, but never had a spike this big with electric, as I say I can only presume it is largely based on previous usage and old tenants who say left stuff like water on all day, used washer every day etc etc.
I am about as frugal as it gets with usage only really using my PC and this oil heater in the evenings and obviously higher usage this time of year at weekends as not out as much.
And I am aware that prices have increased just probably caught in the middle of some weird usage loop as previous supplier did the exact same thing, few months on estimate, decreased usage so in credit than a huge increase in DD. Hence I swapped and have now had the same thing happen.
Just hope I can sort it out
I am about as frugal as it gets with usage only really using my PC and this oil heater in the evenings and obviously higher usage this time of year at weekends as not out as much.
And I am aware that prices have increased just probably caught in the middle of some weird usage loop as previous supplier did the exact same thing, few months on estimate, decreased usage so in credit than a huge increase in DD. Hence I swapped and have now had the same thing happen.
Just hope I can sort it out
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