No Gas Used - Standing Charge

Can someone explain a small thing I have noticed on my first bill. I sent in my Gas reading to Bulb which had the same GAS reading as for the first one sent in when I started at Bulb, but when looking at my new bill Bulb have deducted £5 on the GAS section on standing charges even thou I have not used any gas. How can this be right?

Hi @Timm, the standing charges are applied every day and are completely independent of gas usage

The standing charge is unfortunately a charge that all energy suppliers charge per day regardless of whether you use any gas or electricity. Then you pay per unit for anything actually used.

A good way to get people to pay even when they are being good and not wasting energy!

It’s the same thing as telephone line rental - a charge for providing and maintaining the infrastructure, applicable equally to everyone.
After that, the more you use (phone or gas) the more you pay.
Seems fair to me.

Well I’m sure people will have difference of opinion on this but I feel many (especially big 6) providers make more than enough profit on their normal unit rates without having to charge for infrastructure costs. A good way to make bigger profits for the board and shareholders though.

Hey @Szico_VII , the guys above are right standing charges are charged every day, independent of usage. The standing charge allows us to keep unit rates lower and also pay for the cost of supplying energy to UK homes. This page on our site breaks down our tariff nicely.

Hi Rory,

You are aware I am not the OP? I am aware what a standing charge is. Timm was querying this not me

Whichever way they structure the billing you are going to pay a similar cos, t standing charge + fuel cost OR no standing charge + higher fuel cost. I suspect in days gone by that some clever git decided it looked cheaper if they could hide part of the cost so they could quote a lower kWh cost and the rest followed suit.
At the end of the day I and probably most others look at the total cost for the month. One thing they never include which I would like to see (every company) is what % of the cost pays for directors and CEOs salary and bonuses.