Ofgem Approves £57 Million for Smart Grid Projects

The Office of the Gas and Electricity Markets Energy (Ofgem) announced that six projects will share £57 million of funding to help local power networks. The money comes from Ofgem’s £500 million Low Carbon Networks Fund (LCN Fund). The projects, to be conducted in several areas across Britain, will pilot new technology and commercial arrangements.

Rachel Fletcher, Ofgem’s Acting Senior Partner for Smarter Grids, Governance and Distribution, says, “Britain’s energy grids need to undergo a revolution in how they are run so they can connect more renewable generators and a range of low carbon technologies such as ground source heat pumps. There is a significant opportunity for companies to contain the cost of this transition by making better use of existing capacity and exploring the scope to use demand side response. Lessons learnt from the projects will be shared with all network companies and other interested parties. The aim here is to ensure that the networks do not hold up the decarbonization of our energy use, and that the cost of this transition is kept as low as possible for customers.”

One of the projects involves installing electric storage batteries in homes, schools, and an office to see if customers could be encouraged to use this stored electricity at times of peak demand to reduce the load on the networks. Several projects involve better use of existing network capacity to manage congestion on the grid.

The LCN Fund was established as part of the current price control for electricity distribution network operators (DNOs), running from April 2010 to March 2015. The fund allows up to £500 million for power companies to trial new technology, operating and commercial arrangements that can facilitate the transition to a low carbon energy sector. Additionally, £64 million is available each year in the competitive element of the fund. Up to £80 million is automatically available to the DNOs over the five years of the current price control to help fund smaller scale projects.

29/11/2011 - smartmeter.co.uk

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Scottish Power ignores complaints deadline

ENERGY giant Scottish Power has missed the industry watchdog’s deadline to come clean about its customer complaints.

It was the largest of six suppliers failing to publish complaint levels for the past year by Monday, as Ofgem had demanded.

Among those that did, npower attracted the most gripes, at more than 18 per 1,000 customers. The tally came 24 hours after npower was fined £2million for sloppy customer service.

Last night Ofgem claimed it would “take action” against firms found to have breached industry rules.

A complaint is defined as any dispute not resolved by the end of the next working day from when it was made.

British Gas had 197,682 complaints in the year to the end of September – 12.37 per 1,000 customers. E.ON had 60,798 (12.16 per 1,000), and Scottish & Southern Energy 106,444 (12.1 per 1,000).

EDF Energy had 48,730 (8.86 per 1,000), although the number was up 40 per cent on the previous year. Of 13 suppliers asked for data, minnow Ecotricity came top with 0.55 per 1,000, although it has only 51,000 accounts.

Consumer Focus, the customer watchdog soon to be scrapped by the Government, said the figures did not give the full picture. Its own data put

EDF bottom for complaints between April and June this year, with Scottish & Southern Energy best.

Audrey Gallacher, energy director of Consumer Focus, said: “These figures have not been checked and only show complaints not resolved within a day.

It’s hard to tell how accurate a picture they present.”

Npower said: “Suppliers record complaint numbers differently. Consumer Focus uses the same criteria for all. In these, we are ranked 4th.”

Scottish Power claimed it was ranked lowest because it tried to resolve more complaints at an early stage. It added that the data would be published today.

02/11/2011 - mirror.co.uk

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British Gas pledges better bill transparency

British Gas became the latest "big six" electricity and gas provider to acknowledge a lack of public trust in the energy industry as it promised to simplify energy tariffs and provide a more transparent billing system yesterday.

The Centrica-owned supplier will offer two tariffs – one variable and one fixed – and provide customers with a complete breakdown of the costs that make up their bills.

Phil Bentley, British Gas's managing director, admitted that his company "had not made it easy for customers" in the past and said he would be informing customers of the changes by letter.

"It's clear that we need to make things better for our customers. To make sure that we do that, I'm committed to having an honest conversation. We are very conscious of our social responsibility. It's not right if we are charging honest customers more," Mr Bentley added.

Ofgem welcomed the move, saying that British Gas had recognised the need for an "open and honest dialogue" with its customers.

"As part of urgently restoring confidence we are calling on all suppliers to get behind Ofgem's reforms to deliver what consumers tell us they want – a simpler, more competitive energy market," Ian Marlee at Ofgem said.

The move by British Gas follows pledges made by SSE on transparency last month and E.on's announcement this week that it was "pressing the reset button" as to how it operates.

Politicians, regulators and consumers have been piling the pressure on the dominant energy providers in recent weeks, after soaring wholesale gas costs prompted them to hike domestic energy price hikes, putting further pressure on cash-strapped customers.

Ofgem, the industry regulator, inflamed the situation last month as it published new research which estimated that the big six's annual profits had leapt from £15 to £125 a household since June, on the recent price rises.

Although the big six vigorously denied the profit margin – and Ofgem admitted that further rises in wholesale prices would probably bring it down in the coming months – the regulator's research nonetheless intensified the pressure on the dominant energy providers.

Ofgem accompanied its research with a pledge to clamp down on the complex system of more than 400 tariffs, arguing that they stifled competition by confusing customers.

It proposed forcing suppliers to offer a single "no-frills" tariff, with a "standing charge" per unit, on top of which the energy suppliers would have to offer a variable price per unit, making bills clear and price comparison easier.

Adam Scorer, a director at Consumer Focus, said: "The penny has dropped. Reducing the number and complexity of tariffs won't bring prices down by itself, but it will help people understand their energy costs and get the best available deal."

25/11/2011 - Independant.co.uk

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Energy bills will still rise, says British Gas boss

The UK’s largest household energy provider has written to its 7 million customers who are not on fixed energy contracts and promised to simplify its complicated tariff structure.

It has also pledged to include a full breakdown of its costs when it sends bills to customers, in a bid to prove that it is not profiteering from rising prices. The company said that the moves are about “rebuilding public confidence”.

The push follows public anger over soaring UK-wide gas and electricity prices, which have added an estimated £224 to the average household bill over the last year. The average annual dual fuel bill in the UK is now £1,293.

However despite the promises that it is “time for change”, Phil Bentley, British Gas’s managing director, said that prices will continue to rise due to factors beyond his control.

“Over the next five years our industry is facing increasing commodity costs, increasing distribution costs and increasing green levies. I have no control over the three of those,” said Mr Bentley.

Over the summer British Gas increased gas prices by 18 per cent and electricity prices by 16 per cent.

On Wednesday Chris Huhne, the energy secretary, was forced to admit that green taxes – which all households will have to pay over the next decade - will add £280 to annual household energy bills by 2020.

Consumer groups welcomed British Gas’s new spirit of openness, which included the printing of Mr Bentley’s personal email address at the end of every letter to customers. Among British Gas’s pledges were a promise to have just two types of tariff: fixed and variable. At the moment the UK’s largest energy companies offer around 400 tariffs between them.
However critics said that households would prefer lower prices over simpler tariffs.

Mark Todd, a director at Energyhelpline.com, the price comparison site, said that the UK’s biggest energy suppliers have been “badly bruised and chastened” by recent negative public reaction to rising energy prices. He said that British Gas’s efforts to increase transparency is a “welcome show of humility and honesty”.

However Mr Todd said: “While people want simplicity and transparency in their dealings with energy companies, they tend to want savings more.”
Consumer Focus, the consumer group, said that energy companies have “confused, antagonised and alienated” consumers.

Tom Lyon, a director at Uswitch.com, the website, said that consumers' confidence in energy companies is at an "all time low". However he said British Gas's move could be the "blueprint for starting to rebuild" trust.

Critics said that the price of energy on the wholesale market has fallen by almost a fifth since September and that suppliers like British Gas should start to cut bills.

However according to Energyhelpline, over the last month British Gas’s cheapest tariff has gone up in price from £1,099 a year to £1,167.

Mr Bentley said that British Gas buys its energy up to 18 months in advance, so can not take advantage of short-term fluctuations in energy prices.

A spokesman for Ofgem, the energy regulator, said that is it was not its remit to regulate prices. Rather, Ofgem exists to make sure that the market works efficiently.

Ofgem is pushing through a number of initiatives that will make bills simpler to understand, the spokesman said. It is demanding that energy companies replace the 400 different tariffs that they currently offer with one tariff per payment method – direct debit, pre-pay or cheque – for both gas and electricity. It is also demanding that they auction a fifth of the energy that they produce to third party suppliers, in order to encourage new entrants into the market.

Ian Marlee, partner for markets at Ofgem, said: “As part of urgently restoring confidence we are calling on all suppliers to get behind Ofgem’s reforms.
Without the decisive break with the past that our reforms offer, consumers will continue to mistrust energy suppliers.”

25/11/2011 - Telegraph

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British Gas has promised to simplify energy tariffs and provide a more transparent billing system in a bid to regain customer trust.

The supplier will offer two tariffs, variable and fixed, and provide customers with a complete breakdown of all the costs that make up their bills.

Phil Bentley, managing director, admitted it "had not made it easy for customers" in the past and a letter would be sent out to all customers explaining the new policy.

He told the BBC: "It's clear that we need to make things better for our customers. To make sure we do that I'm committed to having an honest conversation with (them).."

British Gas would also stop offering cheap deals as loss leaders to attract customers, he said.

"It's not right if we are charging honest customers more [to fund these deals]," he said.

Earlier this year the consumer watchdog magazine Which? warned that energy tariffs were too complicated for many customers to understand.

Which? asked 36 members of the public to calculate the cost of a domestic energy bill using information from suppliers' websites but the task proved too difficult for all but one of the group. An accountant was among those who failed the test.

Richard Lloyd, executive director of Which?, said: "People tell us they want to be able to check they're paying the right price for their energy, and when even an accountant struggled to calculate a bill it shows it's far too complicated.

"There are straightforward ways that consumers can cut their bills – for example by switching to online deals or paying by direct debit."But that won't help people to pick the best tariff for them."

"So Which? wants the regulator to stamp out excessively complex tariffs, across the board."

24/11/2011 - Guardian.co.uk

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Scottish Power fails Ofgem customer complaint requirement

Scottish Power is the only one of the "big six" energy firms to fail to meet industry requirements to publish customer complaint numbers for the past year.

Energy regulator Ofgem required all companies to publish on their websites the total number of complaints they received in the year to 30 September 2011 by 31 October.

Last year, Scottish Power received 18.06 complaints per 1,000 customers – the worst customer complaint levels of the big six – and the firm is expected to post a similarly high figure this year. It is the second year in a row the company has failed to meet the deadline.

Of the remaining five that did so, npower had the worst customer complaint record with 18.45 complaints per 1,000 customers – a 10% rise on last year's figure of 16.8 complaints.

In late October, npower was fined £2m by Ofgem for mishandling customer complaints. The regulator said it had failed to record all details of the complaints it received, did not give customers enough details of the redress service offered by the energy ombudsman, and failed to put in adequate processes to deal with complaints.

British Gas, which was fined £2.5m by Ofgem in July for breaching the same regulations, and EDF saw massive increases in complaints with respective rises of 40% and 30% (to 8.86 and 12.37 complaints per 1,000 customers).

The overall number of complaints at E.ON fell by 4%, but because the firm's customer base also shrunk the ratio of complaints per 1,000 customers rose by 1%.

None of the smaller energy firms published their figures before the Ofgem deadline except Ecotricity – which had the fewest complaints with just 0.55 per 1,000 customers (a 20% drop on its 2010 figure) – and Ovo Energy. Both

First Utility and Utility Warehouse have failed to publish their customer complaint levels for the past two years.

Ecotricity said it was becoming increasingly difficult for consumers to find information about customer complaints because Ofgem did not collate and publish the information itself, unlike the Financial Services Authority (FSA) which collects and releases complaints data about banks.

Ecotricity's founder, Dale Vince, said: "Most people won't know that Ofgem require all energy companies to publish their customer complaint records, because they quietly get buried on energy company websites and customers never see them.

"Ofgem should be publicly reporting these figures all in the one place, so that customers can make an informed choice when comparing the customer service record of energy suppliers, just like they can when comparing tariffs. What, otherwise, is the purpose of collecting the data?"

An Ofgem spokesman said: "We take customer complaints very seriously, as can be seen by the action we have taken againast British Gas and npower.

Rest assured, we do take action when companies breach the rules and we will be asking for an explanation from any provider that hasn't yet published their customer complaints data."

He added: "Unlike the FSA and other regulators, we do not currently have the power to publish indutry complaints data ourselves, but are seeking those powers from the government."

A Scottish Power spokesman said: "Scottish Power's policy is to keep all complaints open until they are fully resolved, therefore they are all counted in our annual figure.

"We believe our complaint logging and management process is fair and transparent, but this can lead to negative comparisons when the stats are presented in this way as processes and definitions differ across the industry.

"Scottish Power had informed Ofgem that the company would disclose the annual customer complaint data with our quarterly figures on 11 November.
We will now publish both sets of information on 2 November."

01/11/2011 - guardian.co.uk

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Mobile phone firms urged to clarify 'unlimited' data offers

Ombudsman says companies should step in to prevent consumers accruing big bills from downloading on their phones

Mobile phone companies are being urged to take action to prevent consumers running up huge bills for downloading and streaming music, films or games to their phones.

Many offer "unlimited" data downloads, but some cite a "fair usage" policy that effectively caps the amount a customer can download. Customers are often caught out when they exceed this policy.

The communications ombudsman, Lewis Shand Smith, said operators should be clearer about what was meant by the word "unlimited" in advertisements, inform consumers when they are approaching their limit, and advise people on the amount of data being downloaded.

Shand Smith said: "This is an emerging problem which we think could cause real consumer detriment – we want mobile phone companies to take action before it becomes more prevalent.

"Some mobile phone packages offer 'unlimited' downloads and consumers may believe that their mobile phone bill won't go above a certain amount. Consumers may fail to realise is that there is a small asterisk next to the word 'unlimited' which refers to small print stating that there is in fact a limit which, if exceeded, will incur further charges."

Fair usage policies vary between operators and call plans. T-Mobile and Orange allow customers on monthly tariffs to download 500MB of data a month, but Three has no limit.

The Advertising Standards Authority has looked into the matter and decided it is acceptable to use the term "unlimited", as long as the customer is made aware of the limits and that it does not affect the typical user, the ombudsman added.

In May, communications regulator Ofcom said it wanted to hear from consumers who have received an unexpectedly high mobile, landline or broadband bill in the past 12 months.

Research from the regulator shows that 6% of UK consumers received an unexpectedly high mobile phone bill during the past year, with just under one-fifth of those receiving a bill of at least £100 more than expected.

The average "bill shock" was between £31 and £50 for mobile phone services, Ofcom said.

Among the top five common reasons for unexpectedly high mobile bills were customers exceeding their inclusive bundles and using mobile phones abroad.

From July 2012, mobile phone companies will be forced by the EU to cap the amount they charge for overseas data roaming, at 80p (€0.90) per megabyte.

At present, data roaming costs vary hugely. O2, for example, charges £3.07/MB when roaming in Europe and £6/MB for the rest of the world, while Vodafone charges £1/MB up to 5MB, then £5 for every additional megabyte after that in Europe.

Shand Smith said UK consumers must make reasonable efforts to understand the limits of the package they are on and take steps to understand the terms and conditions of what they are buying, before they sign up to a fixed contract.

"If a welcome letter, which clearly explains the limit, isn't read or is ignored, there is nothing we can do to help. Where the information provided by the company is missing, insufficient or misleading, the ombudsman can get involved," he said.

18.11.2011 - Guardian

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Energy suppliers axe more cheap tariffs

Last week four cheap tariffs were pulled from the market to be replaced with more expensive versions. Households paying through the nose need to act fast to grab one of the last cheap deals.

Usually when a supplier introduces a new “version” of its online tariff, it’s inevitably more expensive, and the last week has been no exception. British Gas has scrapped its range to only have four core offers available to new customers: online, fixed, green and standard. Although this makes it simpler, it has also pushed up the cost.

ScottishPower also replaced its cheapest online and fixed tariffs with more expensive versions, although their new offers are still over £250 cheaper than a UK household’s typical bill.

Some good news is that the npower £100 voucher offer is still available. Anyone switching their gas and electricity supply to its Go Fix 8 tariff (except customers already on the tariff) will receive a £100 Love2shop voucher, which can be spent in a wide range of high street shops.

21/11/2011 - mirror.co.uk

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British Gas price hike triggers 200,000 customer exodus

More than 200,000 customers left British Gas after the power giant’s ­inflation-busting summer price hike.

The exodus was sparked by an 18% rise in gas and a 16% increase in electricity prices in August.

The figures follow parent firm Centrica’s plans for more job losses on top of 850 announced recently.

It said it may shut some of its eight remaining ­gas-fired power stations.

Bosses blamed a, ­“challenging commodity price and economic ­environment”.

British Gas has 15.9 million customers. Its profits are expected to drop by 26% this year to £552million.

But Centrica’s are set to rise from £2.4billion to more than £2.5billion.

18/11/2011 - mirror.co.uk

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Are you ready for winter? How a few simple tricks could cut your energy bill

Energy bills are at a record high, but a few simple tricks can knock hundreds off your bill.

For example, energy suppliers are giving away free loft and cavity wall insulation, which can save you up to £300 a year — so what are you waiting for?
PAY LESS FOR ENERGY
All energy companies have increased prices recently. This means it’s an ideal time to find a cheaper deal, since there’s a level playing field to choose from.
If you don’t want to swap provider, at least call your current gas and electricity company to check you are on the cheapest tariff.

You could save £232 a year by moving from your fuel provider’s standard tariff to an online one, according to comparison site Moneysupermarket. With online tariffs, you pay by monthly direct debit, don’t get paper bills and submit meter readings online.


LAG PIPES AND TANKS
A staggering 1.5million homes suffered burst pipes during the big freeze last winter. To avoid this, ensure all pipes (hot and cold) are properly insulated.
You can buy lagging from most DIY shops for about £5 for two metres and it is easy to do yourself if your pipes are easy to reach. The alternative cost of a plumber could be anything from £15 an hour.

The Energy Saving Trust (EST) estimates this saves £15 per year, since the hot water is kept hotter for longer. You should also ensure your hot water tank — if you have one — is insulated.
You can buy tank jackets for £3. They are easy to fit and are immediately effective.
The EST says this can shave £40 a year from your gas bills.
HEAT SENSIBLY
Use your heating timers to ensure your radiators don’t come on when you are out. Also use thermostats to set the lowest comfortable temperature, somewhere between 18c and 21c.
Turning your thermostat down by just one degree saves around £55 a year. You should also ensure your water only heats up when you need it.
INSULATE YOUR LOFT
A quarter of your heat is lost through your roof. A loft should have 270mm of insulation — this could save £175 a year on your bill. You may be able to get loft and cavity-wall insulation for free from your energy supplier.
Suppliers have to install free or discounted insulation in people’s homes to meet ‘green’ targets set by the Government. This is paid for by the Carbon
Emissions Reduction Target scheme — which typically adds £48 a year to everyone’s bill, so claim for free insulation if you can. Contact your energy supplier or the EST for details (call 0800 512 012).

...AND YOUR WALLS
A third of heat is lost through your walls. If your house was built after the Twenties, it is likely to have cavity walls. These can be insulated for about £100, but will save about £135 a year from your bills, according to the EST.
You will need to find a registered installer. Try www.national insulationassociation.org.uk.

MIND THE GAP

If you can feel cold air coming through your windows and external doors, get them draught-proofed. You can buy self-adhesive foam strips from a DIY shop for about £6 for ten metres.

16/11/2011 - Dailymail.co.uk

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British Gas to accelerate rollout of 100,000 smart meters in 2012

British Gas is to accelerate its smart meter rollout with the deployment of 100,000 smart meters in 2012, the company has announced.

The accelerated rollout forms part of a new Fair Billing commitment for small businesses, which makes improvement in accurate billing a number one priority.

In particular the aim is to ensure that customers only pay for the energy they use and that they are not hit by big “back bills” caused by supplier or industry errors.

British Gas currently has over 200,000 smart meters already in use by business customers, and sees smart meters as central to ensuring bill accuracy.

The Fair Billing Charter will detail the rights and responsibilities of the customer and British Gas, and will also advise on how customers can be more energy conscious.

Under the Charter British Gas commits that by 2014 the company will not “back bill” small business customers further than one year, if the company or industry processes are at fault and the customer adheres to the Consumer

Focus principles to avoid back billing. Next year a limit of three years will be put in place, reducing to two years in 2013 and one year in 2014. This is similar to the voluntary rules in place for residential customers.

In addition proportional payment plans will be offered where requested and a smart meter where possible.

“I understand the concern and frustration that billing inaccuracies can cause our customers,” said Kanat Emiroglu, managing director of British Gas
Business. “It is particularly important now, when small and medium sized businesses are the growth engine of the economy that we ensure our customers get accurate bills and only pay for what they use.”

15/11/2011 - iewy.com

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Energy bills cause fall in living standards

Growth in essential spending reached its highest level this year, rising 3.7pc for the month of October, according to Lloyds TSB's Spending Power Report. The rise outpaced income growth, which slowed to 3.3pc and left real incomes 1.6pc lower than last year.

Spending on gas and electricity grew by 7.4pc last month despite it being one of the mildest Octobers on record. "The likelihood is that this figure will continue to rise in the coming months as the weather gets colder," Lloyds TSB said.

Official inflation figures today are expected to offer little respite, with the headline measure of consumer price growth forecast to decline from 5.2pc to just 5.1pc.

As a result, more households are looking to save than at any time in the past year, Lloyds' research found.

A separate study added to the sense of gloom after Britain came second bottom in a new measure of economic well-being.

The Demos-PwC Good Growth Index – which measures unemployment, disposable income, work-life balance, health, transport, income inequality and housing – found that only Spain was less attractive of major OECD countries.
Within the UK, London emerged as the worst place to live and the south-east as the best.

15/11/2011 - Telegraph

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EDF fined €1.5m for spying on Greenpeace

France's state energy firm EDF has been fined €1.5m by a Paris court for spying on Greenpeace.

Its head of nuclear production security in 2006, Pascal Durieux, was given a three-year sentence with two years suspended, and a €10,000 fine for commissioning the spying. The Nanterre court also sentenced the security No 2 in 2006, Pierre-Paul François, to three years, 30 months suspended.
EDF has also been ordered to pay €500,000 in damages to Greenpeace.

The judge further handed down a guilty verdict on Thierry Lorho, head of Kargus, a firm employed by EDF to hack into Greenpeace's computers. He got three years in jail, two suspended, and a €4,000 fine.

EDF is the world's biggest nuclear energy supplier; it owns the UK nuclear power operator, British Energy, and is a major sponsor of the London Olympics. It was charged with complicity in concealing stolen documents and complicity to intrude on a computer network.

EDF and Greenpeace have fought for years over France's power production, more than three-quarters of it nuclear. According to confidential court testimony released by a French website, Mediapart, two years ago, EDF had organised surveillance not only of Greenpeace in France, but broadly across Europe since 2004.

In 2006, EDF hired a detective agency, Kargus Consultants, run by a former member of France's secret services, to find out about Greenpeace France's intentions and its plan to block new nuclear plants in the UK. The agency hacked the computer of Yannick Jadot, Greenpeace's then campaigns director, taking 1,400 documents.

An EDF official had no immediate comment. In the trial, EDF said it had victim of overzealous efforts, and had been unaware anyone would hack a computer.

"The fine and the damages awarded send a strong signal to the nuclear industry that nobody is above the law," said Adélaïde Colin for Greenpeace France. "In the runup to the next presidential elections … voters should keep this scandal in mind."

The outrage among anti-nuclear campaigners echoes that which emerged when it was revealed that France's secret services were behind the bombing of the Greenpeace ship Rainbow Warrior 26 years ago. Moreover, safety is a very live issue since Japan's Fukushima disaster. In March, only weeks later, EDF boss Vincent de Rivaz said its plan to build four reactors in the UK would be unaffected, starting at Hinkley Point in Somerset.

At present, the four EPR are being built in Finland, France and China are well behind schedule, hampered by construction problems and billions over budget, in the case of EDF's reactors in Finland, and France.


Speaking from alongside the new Rainbow Warrior, currently on its maiden voyage and docked in London, Greenpeace UK's executive director, John Sauven, said: "The evidence presented at the trial showed that the espionage undertaken by EDF in its efforts to discredit Greenpeace was both extensive and totally illegal. The company should now give a full account of the spying operation it mounted against its critics. As one of the six companies with a monopoly over electricity supply in this country and a major sponsor of the
Olympics, EDF has a duty to come clean. The length of the sentences handed down shows just how seriously the judge views what the French state owned company did."

Yesterday, EDF raised its target for nuclear generation in France and reported a 3.2% rise in sales.

10/11/2011 - Guardian

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Black Thursday for gas and electricity bills

Households have been urged to check what they are paying for their energy bills after the last of the latest round of gas and electricity price hikes came into effect at midnight last night.

Customers of EDF Energy have just seen the cost of their gas increase by 15.4%, while their electricity prices have gone up by 4.5%, adding around 33 pence per day to the average dual fuel bill.

As a result, it means that all of the price rises announced during the course of the year by the 'big six' UK gas and electricity suppliers have kicked in just as the winter is about to bare its teeth.

Scottish Power increased its gas and electricity prices for retail customers by 19% and 10% respectively from 1 August, while British Gas hit its average domestic gas customers by another 18% and its electricity customers for 16% from 18 August.

E.ON hiked its gas prices by 18.1% and its electricity prices by 11.4% on 13
September, while just a day later, customers of Scottish and Southern Energy saw household gas prices rise by 18% and household electricity prices increase by an average of 11%.

Npower's gas prices increased by 15.7% on 1 October, with its electricity prices rising by 7.2% at the same time.

Despite the rises, Mark Todd, director of the independent price comparison service Energyhelpline.com, has told consumers there are still plenty of good deals being offered for those who are willing to switch.

"Fixed rate deals of one to four years are available at lower costs than standard prices and there are internet rates offering savings of about £300 a year," he added.

"In hard-pressed Britain today a £300 saving for 10 minutes work must be worth checking out."

10/11/2011 - moneyfacts.co.uk

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Switch energy suppliers now or pay the price

Almost six million EDF customers will see their energy bills rocket from tomorrow as the last of the big suppliers' price rises comes into effect.

EDF is increasing electricity by an average of 15.4 per cent and gas by 4.5 per cent. T
his takes the average household bill across all suppliers to almost £1,300 a year. Experts say now is the ideal time to switch.

Ann Robinson, director of consumer policy at comparison site uSwitch, says: 'With the cold nights starting to set in, consumers should act now to reduce their bills.'

'There are two steps to this: use less energy by making your home more energy efficient, and pay less for the energy you do use.'

Switching suppliers can shave more than £250 from your annual bill, but the best deals are disappearing fast.
Last week, British Gas withdrew its cheapest Web-Saver 13 tariff, which promised to be 6 per cent cheaper than the standard tariff of £1,219, at £1,145.
It is being replaced with a new, 'simpler' tariff called Energy Online from November 17.

This promises to be just 4 per cent cheaper than standard, or £1,170 — that is £25 a year more expensive than WebSaver 13.

A few simple tricks can keep energy bills down. Turn your room thermostat down just one degree; don't leave appliances on standby; use your microwave instead of the oven; change to energy-saving lightbulbs; and turn the temperature on your washing machine down to 30 degrees.
09/11/2011 - Dailymail

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SSE sees 25% drop in pre-tax profit

LONDON (SHARECAST) - Gas and electricity group SSE saw its adjusted profit before tax fall 25.4% for the half year to September.

Pre-tax profit dropped from £385.5m in 2010 to £287.4m for the same six month period this year, mainly as a result of wholesale gas prices being 40% higher than in the previous year.

The firm said it took the decision to shield household customers from rising wholesale energy prices for as long as practical before implementing a price increase on 14 September.

Company chairman Lord Smith of Kelvin said: "There is no doubt that 2011 has been characterised by turmoil in the global energy markets, economic uncertainty across much of the world and widespread concern about the financial outlook for customers, companies and countries. This is not a straightforward time in which to do business.

"SSE's half-year results reflect the impact of a number of these issues, especially the high wholesale cost of gas which eventually necessitated the increase in household prices that unfortunately had to be made in September.

"We are expecting to report a moderate increase in adjusted profit before tax in our full-year results next May."

Despite the drop, the company increased its interim dividend by 7.1%.

09/11/2011 - sharecast.co.uk

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Npower facing £2m Ofgem fine

Industry regulator OFGEM is poised to penalise the company in a rare victory for hard-up households.

Confirmation could come as early as today. It would be the second fine levied on Npower in less than three years.

 In 2008, the German-owned giant paid £1.8million after doorstep salesmen were found to have tricked customers into signing up for gas and electricity.

Npower also had to refund £70million to 2million customers last year in a billing fiasco. Both Ofgem and Npower refused to comment last night.
Sources claim they are still thrashing out the details of the announcement.

But industry experts said it was a sign the regulator is finally getting tough with Britain's Big Six energy giants.

Richard Lloyd — executive director of Which? — said: "If they are flexing their muscles it's overdue but very welcome." Ofgem fined BRITISH GAS £2.5million for mishandling complaints in July. At the time the regulator said it
was also investigating Npower and EDF on the same grounds.

Energy Ombudsman figures show complaints are soaring.

It dealt with 632 customers fobbed off by their supplier in September — up 81 per cent on the same month last year.

The Sun extended its Keep It Down petrol campaign last week to urge the Big Six power firms to play fair.

27/10/2011- Thesun.co.uk

Nine out of 10 families will be forced to ration their heating this winter

The soaring cost of gas and electricity is forcing more households to turn off heating. Research from uSwitch suggests 89 per cent of families will ration their energy use this winter to save on bills.

Taking the blame is the 21 per cent hike in energy prices in the past 12 months which has left the average household having to find an extra £224 for heating. "As the cost of our energy bills escalates people are being forced into making potentially dangerous choices," warns Ann Robinson, director of consumer policy at uSwitch.

"Whether they sacrifice something else to keep the heating on or turn the heating off to pay for something else, there is a modern-day Russian roulette going on in homes up and down the country."

Last winter, more than half of all households went without heating at some point to keep their energy costs down, risking health and well-being. Worse, almost seven million households are in fuel poverty, with single parents and pensioners the worst-hit.

The charity Turn2us is running a social media campaign to build up a nationwide fuel poverty map. It wants people to submit information on how much they pay for energy as a percentage of their income with the results automatically plotted on an interactive map. To join in or follow the campaign, go online to http://fuelpoverty.turn2us.org.uk.

05.11.2011 - Independent

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Samsung Galaxy SII beats iPhone 4S at top gadget awards

Samsung has won the latest round in the battle of the handsets with Apple after scooping best phone at a top awards ceremony.

The Galaxy SII was crowned Phone of the Year at last night's Stuff Gadget Awards over the iPhone 4S.

It is the first time in three years the iPhone hasn't won the gong.

It is another blow for the American giants after its Korean arch-rivals announced that its cult Android handsets had outsold the iPhone last quarter.

But Apple did hit back when the iPad 2 took the Tablet of the Year award from the Samsung Galaxy Tab 10.1.

Will Findlater, editor of Stuff magazine, said: 'This year’s Stuff Awards are proof that the gadget world is more innovative and exciting than ever, shining brightly against a backdrop of financial doom and gloom. The gap between winners and shortlisted runners-up has never been so tight.'

The two companies are also locked in a legal battle over alleged similarities between their touchscreen smartphones and handsets.

Apple is pursuing legal action against Samsung's Galaxy family of touchscreen tablets and smartphones - some of which are currently illegal in Europe thanks to lawsuits claiming they are 'slavish' copies of iPhone and iPad.

But Samsung says it is going to hit back over claims Apple was 'free riding' on Samsung wireless technologies.

03.11.2011 - DailyMail.co.uk

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Virgin Media's 'Sky upgrade pack' ad banned

BSkyB has succeeded in getting a Virgin Media direct mail campaign banned for tricking consumers into thinking it was an official offer of a TV upgrade from its pay-TV rival – but lost a bid to stop Virgin being able to claim it offered a "better TV experience".

The satellite broadcaster lodged a complaint with the Advertising Standards Authority over a campaign from Virgin Media that arrived in an official-looking jiffy bag promising a "satellite TV upgrade pack" to households.

Virgin Media's jiffy bags, which aimed to get consumers to change to its cable service, gave the appearance of being an official communication from Sky.
BSkyB claimed it broke the advertising code and misled consumers because

Virgin Media had not made it clear that the jiffy bags were a marketing ploy.

The satellite operator also complained that a statement made in text in the advertising that switching away from Sky meant an end to "frozen pictures caused by bad weather" was misleading and could not be proved.

The ASA backed BSkyB over the jiffy bag campaign, saying that it misled consumers into thinking that it was an official upgrade of the satellite broadcaster's TV package. The regulator banned the ad for breaching rules about misleading advertising and "recognition of marketing communications".

However, BSkyB's victory was short-lived as the ASA rejected the company's attempt to get Virgin's claim that it has, at times, inferior picture quality banned.

Virgin Media said in its defence that BSkyB has previously admitted that its satellite signal, and therefore picture quality, can be compromised by bad weather "such as large snowfall or heavy rain".

Virgin's underground cable service is unaffected by weather changes, hence the company's claim to a "better TV experience".

The ASA said that the claim in Virgin Media's advertising clearly referred to a comparison on a potential "freezing" of the Sky picture when weather is poor, rather than general picture quality. 

"We understood that it was the case that satellite signals, and therefore picture quality, could be affected by bad weather, whereas cable TV would not be affected in that way, and we considered it was not misleading for Virgin to refer to that in their advertising," said the ASA. "We also considered that consumers were likely to regard a TV service which was not affected by bad weather to be providing a 'better TV experience' than one that was. We concluded the claims were not misleading in that regard."

02/11/2011 - Guardian

Nine in 10 homes will have to spend more to qualify for solar subsidies

Energy rating hurdle means 86% of householders would have to spend £5,600 to qualify for feed-in tariff.


Nearly nine in 10 households would have to spend more than £5,000 to make their homes more energy efficient before they could be eligible for solar panel subsidies under new rules announced this week.


Under changes announced on Monday, the solar feed-in tariff (Fit) will be tied to the government's "green deal" loan scheme that aims to make homes more energy efficient.


But 86% of the UK's homes do not meet the 'C' energy rating standard that properties will need to qualify for the feed-in tariff, according to research by the office of shadow energy minister, Caroline Flint.


Bringing those homes up to standard through insulation and heating improvements would "in most cases" cost up to £5,600, according to the Department of Energy and Climate Change (Decc). The Renewable Energy Association believes the true cost would be higher, at around £7,000.


Flint said: "These figures prove that the government is going to kill off solar power as a popular energy saving measure available to the many and make it the preserve of a wealthy few. First they halved the tariff, then they add this energy rating hurdle putting the Fit beyond the reach of 86% of homes."


Homeowners should theoretically recoup the £5,600 – paid in repayments as part of the green deal – through energy bill savings, and will not need to foot the upfront cost. Anyone installing solar panels after 1 April 2012 will need to green their home to the 'C' standard, with those installing before 31 March 2013 getting 12 months' grace to install the measures. The green deal is due to come into effect in November 2012.


The news came as reports arrived of several solar projects already having been cancelled due to the feed-in tariff cuts, announced by Greg Barker on Monday.


In a letter to the Guardian, published on Tuesday, the RSPB wrote: "[Our] own solar programme, which would have seen solar car parks and roofs at 22 of our nature reserves, has been cancelled and the considerable time, effort and money we have put into the project has been lost."


Alan Sharpe, the RSPB's director of finance, noted that it was not objecting to the cuts in principle, but "the lack of clarity and the opaque decision-making".


As a result of the cuts, Norfolk council has scaled back plans to install solar panels on schools, libraries, fire stations and other buildings owned by the authority and intends to set up a wholly council owned energy company. Adrian Ramsay, the Green party's deputy leader and former councillor of Norwich council, said: "The project is a good example what the previous scheme enabled and what might become threatened. Although it won't be completely cancelled, thanks to the 50% cut the council has to review it."


Other projects have been cancelled outright. "We are having to withdraw our planned share offer for 15 solar PV systems on roofs of community buildings following government's announcement," said Anne Chapman from Morecambe Bay Community Renewables.


Craig Jackson from South Yorkshire Housing Association said: "The government has talked of a 4.5% return – but our financing costs alone are 4.75%. These changes mean our Power Roofs scheme now won't even break even for us. We have no generous benefactors – we have had to raise this finance ourselves. This has completely decimated our programme of fitting solar panels to social housing in South Yorkshire. In one stroke, the government has managed to kill off £1m of PV installations that won't happen as a result of this."


In a letter to the prime minister, 50 signatories including MPs, NGOs, industry stakeholders and landlords, urged him to "revisit the spending constraints". They wrote: "At a time of great economic uncertainty, Fit installations are one of the very few things that social landlords can do to support their tenants. However, the proposed level of these reductions will, quite simply, render new projects financially unviable. For the vast majority of social landlords, the risks of projects will be too big and the return on investment too small."


"Too sudden, too drastic," said Paul Westcar, a homeowner in Reading. "We were close to choosing a company, after having looked for a couple of weeks. In December, new solar panels will come on the market, they are supposed to be more efficient. That is the first problem, we can't take them because of the time pressure."


Some installers are already seeing increased orders on their books, as people rush to meet Decc's proposed date for changes in six weeks' time. Westcar said: "Our favourite company already said 'no way', now we are in negotiations with another one. If we miss the deadline, the installation will be uneconomic for me."


Friends of the Earth's energy campaigner Donna Hume said: "The government has cast a dark shadow over our thriving solar industry and effectively pulled the plug on countless clean energy projects across the country.


"If we want to wean the nation off increasingly expensive fossil fuels and free ourselves from the shackles of the 'big six' energy firms, the government must encourage more households and communities to generate their own home-grown electricity – not slash solar incentives."


2.11.2011 -  The Guardian


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Energy firm SSE attacks rivals over "predatory pricing"

SSE, one of the "big six" UK energy providers, is simplifying electricity and gas tariffs, while attacking "predatory pricing" by its rivals.

The company is withdrawing its cheapest tariff, which is only for those who deal with the company online.

It will now make all tariffs available to customers, whether they use online, phone or post to communicate.
But there will still be discounts for direct debit users, of 6% for each unit used, and online bills saving 1%.

Perth-based SSE, which changed its name from Scottish and Southern Energy on October 1, has also written to UK Energy Secretary Chris Huhne, supporting his call for a crackdown on "predatory pricing" by its competitors.

Chief executive Ian Marchant has been taking measures to respond to government, regulatory and public pressure over the way the big six energy firms deal with customers.

His latest initiative was lodged with the department of energy and climate change as regulator Ofgem announced a £2m fine for rival firm npower.

SSE also said it had boosted its own transparency by publishing, for the first time, the total number of customer complaints about the company between July and September.

SSE said it received 187 complaints out of a total of 2,261 made to the energy ombudsman, while complaints made by customers about SSE to Consumer Focus and Consumer Direct stood at 58 and 40 respectively.

Mr Marchant's letter to the UK government carried unusually strong criticism of SSE's rivals.

Rule 'breach'

It told Mr Huhne: "Your frustration at energy suppliers who appear to engage in predatory pricing is totally understandable.

"The large price differentials between (often short-term) online and offline deals are prevalent amongst other
major energy suppliers and are only made possible by the higher prices paid by existing, loyal customers.

"At times the price difference offered by some major suppliers has been over £300.

The letter went on: "SSE shares your view that treating customers in this way is not acceptable and reaffirms its commitment to never engage in any form of predatory pricing. Our decision to remove online/offline price differentials emphasises the extent of our commitment to this vital principle".

Mr Marchant said that differential could not be justified on the grounds of cost alone and "would therefore appear to be in breach of Ofgem's rules".

He said SSE has urged Ofgem to investigate this, and called on Mr Huhne to bring forward a condition for licencing energy providers that would force all suppliers to equalise prices for customers using online, telephone and post.

SSE includes the Scottish Hydro and Southern Electric brands.

31/10/2011 - BBC

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