Ofgem slashes dual fuel bill estimate by £100
After receiving a fresh batch of data from the DECC (Department of Energy and Climate Change) regarding the consumers’ average energy use, energy market regulator Ofgem has decided to lower its estimates for an average dual fuel energy bill over the next 12 months by an impressive 100 pounds.
The regulator has recently made official its revised Supply Market Indicators (SMIs), which takes into account a DECC report showing that the average energy use of households was less than previously thought.
The Supply Market Indicators (SMI) are designed to make the energy market clearer by showing trends in costs suppliers face and the bills they charge. The SMI shows an up-to-date estimate of the annual bill for an average dual fuel customer on a standard tariff, and the annual costs per customer a representative supplier incurs for delivering the electricity and gas.
The SMI also provides an indicative annual net margin, which is the difference between the customers’ retail bills and the suppliers’ costs. This is presented as a ‘snapshot’ margin for the year ahead and as a rolling average that smoothes fluctuations in the ‘snapshot’ margin.
The regulator now expects a dual fuel bill for the next 12 months to be £1,315, leaving suppliers with a £65 profit margin. Additionally, Ofgem lowered its prediction for a typical gas bill down to £755 – a drop of £70 – with suppliers making £65 in profit – £10 less than before. The estimate for electricity bills fell by £30 – down to £600 – with the profit margin reduced by £5 to £45.
Although Ofgem’s latest announcement represents a very good piece of news for consumers across the UK, the truth of the matter is that energy bills could actually be lowered even further by implementing extensive energy efficiency measures within their homes.
The HeatingSave system allows home owners to cut energy bills by up to an impressive 30%+. It is built around the idea of optimizing the energy consumption levels within any area with the help of an advanced heat-loss algorithm that creates a specific profile for any building and based on that, switches heating on later if its warm and off earlier if its cold.
If you’d like to find out more information on the HeatingSave system and the way in which one can take advantage of it, just contact our dedicated team, they’ll be more than happy to answer all of the questions and queries you might have.