I cant believe the gas price increase

Unless I am mistaken Bulb have hiked the unit cost of gas in November by around 30% . This is surely unprecedented . If its correct why hasn’t it the extreme price rise been notified to the Gas Regulator . I must look at the figures again

Hi @ambvol,

Whilst prices are slightly different per region, my East Midlands prices (as notified in the ‘Variable Price Change’ email on the 11th of September and which prices took effect on the 11th of November - 60 days after notification [Bulb is only obliged to give 30 days notice]), the Gas prices went from 2.80p per kWh to 3.63p per kWh which is 29.6428%.

I note that the 3.63p is still cheaper than Npower’s Standard Rate 3.65p , EON’s 3.657p, OutFoxTheMarket’s 3.9018p (those were the only three I checked). It’s difficult to actually see previous gas tariff information for suppliers so I can’t say for certain whether the gas price increase is typical, but it does seem to be on the lower side of current prices, Bulb did give everyone plenty of notice (more than they are required to), don’t charge an exit fee and do decrease prices when their wholesale costs go down (unfortunately, gas prices are high at the moment causing everyone to put up their gas prices).

I’m not aware of any obligation for suppliers to report an increase to the regulator as long as it is communicated to customers and customers are given appropriate options (the notification email does say ‘We only have one tariff, so you’re already on our best deal. If you’re unhappy you can, of course, change supplier. We won’t charge you any exit fees.’) and the current ‘price cap’ introduced by Ofgem seems to be 4.55p per kWh for my region (as per https://www.ofgem.gov.uk/system/files/docs/2018/11/default_tariff_cap_level_-01_january_2019-_31_march_2019.pdf see https://www.ofgem.gov.uk/energy-price-caps/levels-energy-price-caps ).

Every month I do a quick comparison, and Bulb is usually in the top 4 or 5 of the cheapest suppliers for me and some of the cheaper ones just haven’t applied new price rises yet or just don’t fill me with confidence… But you are free to switch to another supplier from Bulb at any time without any cost from Bulb.

Unless I am mistaken Bulb have hiked the unit cost of gas in November by around 30% . This is surely unprecedented . If its correct why hasn't it the extreme price rise been notified to the Gas Regulator . I must look at the figures again

Please see an earlier thread at: https://community.bulb.co.uk/discussion/7352/gas-price-rise-observation#latest

Un fortunately energy prices will continue to increase as supply is limited and demand increases, and as it is coming to winter that demand sky rockets, with the price correlates with that increase in demand.

To my understanding energy companies pay for energy upfront and batches, and also decide who much to purchase and when, and that is a very dynamic and uncertain business. Energy prices remind me of mortgage packages, you might purchase/ transfer to a new mortgage at a fix rate hoping that the base rate increases and that you save money, but it can also decrease technically cost you more money. Sometime energy companies will not increase the price as they expect the price to go down and when it turns out to be wrong, they pass the loss onto the consumer, that is the industry and vice versa.

If you think you cans ave money elsewhere, with a cheaper supplier I would agree with @RichyB and switch to the cheaper supplier, but unfortunately energy prices will increase regardless.

In general energy price increase is disgusting, as UK consumption of energy has decreased but the price keeps increasing, obviously to make up for that loss of consumption and other factors. The only way to reduced cost is to generate more energy and upgrade the network to accommodate them increased energy generated. For electricity that would appear easy enough, with so much cheaper renewable alternative technology, however, Governments have had a part to play with increasing prices with poor deals like min price per GW generated rather than a market controlled price, VAT, Green energy tax etc and some policies are effective while others are considered poor. For Gas on the other hand, its more complex, the UK has not found an alternative renewable energy source to replace gas, which result in the UK still reliant on the dwindling fossil supply.

In Bulbs last blog on energy supply costs they alerted their customers to an impending price increase of 11%.to their customers. I am puzzled as possibly many others are ,why the huge jump to 30% . Yes I can understand that somehow I have missed an email notification in the 3 laptops and 2 phone used in the house.

In Bulbs last blog on energy supply costs they alerted their customers to an impending price increase of 11%.to their customers. I am puzzled as possibly many others are ,why the huge jump to 30% . Yes I can understand that somehow I have missed an email notification in the 3 laptops and 2 phone used in the house.

Did you miss my post above (i.e. November 20, 2018 5:26PM) which possibly should have answered your query.

November Gas unit cost spike

I couldn’t relate the 11% gas charge increase notified in the August Bulb Blog with the 30% shown on my account. On reflection I wonder if the 11% was a figure generated by an average calculation over the last 12 months. My reference to" shouldn’t this high rise be notified to the Regulator" was my understanding that there now is a Supplier requirement to notify the Regulator of any increase to a suppliers variable rate over which cause an annual account increase of £140 ?? . this I understand was recently increased from £50 something because of the surge in the wholesale cost of gas.
Although I haven’t done the sum I suspect that over a 12 months period a calculation could show that Bulb charges are within the figure.
Fingers crossed , the wholesale gas costs might drop after this spike and Bulb will drop its rates.

Cheaper renewable energy? Renewable energy is great, but it’s massively more expensive (and unreliable).

Cheaper renewable energy? Renewable energy is great, but it's massively more expensive (and unreliable).

Except it’s not. It’s now cheaper to deploy more renewable than it is to deploy conventional power stations.

I’m not sure where you get that information from! It’s 4:30pm and there is no solar and virtually no wind. We are running on Gas at about 6p per KW. Wind is guaranteed around 14p, so we are saving money when renewables don’t run!
They have lots of wind farms in Denmark. They pay twice as much for Electricity than the UK.

I'm not sure where you get that information from! It's 4:30pm and there is no solar and virtually no wind. We are running on Gas at about 6p per KW. Wind is guaranteed around 14p, so we are saving money when renewables don't run! They have lots of wind farms in Denmark. They pay twice as much for Electricity than the UK.

I do not know where you get the idea if Wind Turbines are not operating the UK is saving money. It cost to turn off the Wind Turbines, that is why sometimes renewable can be expensive, The operators of the wind turbines get compensation for turning off to cover cost that would occur regardless, including rates, staffing etc. - this has always been the practice including when coal furnaces had been a major contributor to the UK Electricity supply.

Comparing other countries cost for energy supply, is somewhat odd since there are many factors to considered with the cost of generating electricity and the supply of it. Denmark has made its mark on the wind farm generation, however, it is still plagued today with political turmoil of how to generate electricity (while Denmark introduced wind farms back in the 1970’s, wind farms are still controversial in Denmark today) and supply is just a s limited as the UK.

Side a note the new nuclear site, Hinkley point c has a guaranteed payout of £92.50 per MW, which is far more expensive than the £57.50 for wind farms per WM. This is one of the flaws with privatising energy, private companies want a guaranteed investment for spending billions to generate x MW per hour.