Question

Economy 7 tariff relative to a standard, single tariff

  • 21 September 2022
  • 3 replies
  • 63 views

Having spoken to customer support yesterday about tariffs, I am somewhat puzzled & I need clarification.

I have been in contract for 2 years with Economy 7. This ended this week and I have moved to a variable tariff with the new current rates:

Peak 30.48 p/kwh and off-peak 20.03 p/kwh.

I have also recently installed a PV system with a battery system

My query was, “what is the single tariff I would be offered if I came out of the Economy 7 scheme?”

I expected it to be lower than the peak, but larger than the off-peak and that I could then calculate whether or not my new usage pattern with solar generation would be better served to go to a single 24 hour tariff. The answer I was given was that the tariff would be the same as the peak for economy 7 - 30.48 p/kwh.

Is this correct and why? Obviously, if its correct, I will remain on Economy 7 and use the night time hours as much as possible again.


3 replies

Userlevel 7
Badge +1

Hi @Naptonian the main thing that strikes me is that 30.48 definitely looks like the unit rate till end September.…

Perhaps wait till you get an email from OVO about your 1st October rates, then ask OVO again.

I got my email tonight, but am not on E7. 

Your E7 rates are very close (but not exactly the same, probably in different regions) to mine. As Jeffus said, it's probably best to just wait until the October rates are sent out, but I would say that "standard" electric unit rates are always between the day and night rates  so they might have given you the flat rate after October. Another source of cost confusion is VAT, some figures have them added, some don't.  The MSE site figures include VAT, OVO generally don't (not in the app at least), so there's plenty of scope for confusion there, as I have found for myself 🙂.

Userlevel 3

 Hey @Naptonian,

 

Welcome to the OVO Online Community.

 

Great to see our community members giving you some tip-top advice here. 

 

As this is account specific and unit rates vary depending on region I am unable to answer this question. You are best placed to go to Support with a query like this. 

 

@Jeffus and @TiminSurrey are right, you’re probably best off waiting for confirmation of the unit rates in October. When you do compare rates between Economy 7 and Single Rate, I'd advise ensuring they are giving you the variable rate for both and make sure they are both with VAT. This will mean you get an accurate comparison. 

 

As Jeffus said, it's probably best to just wait until the October rates are sent out, but I would say that "standard" electric unit rates are always between the day and night rates  so they might have given you the flat rate after October. Another source of cost confusion is VAT, some figures have them added, some don't. 

 

Hope this helps.

 

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