Solved

No adjustment to my Fixed Price- What about the Energy Price Guarantee?


I'm paying 47.92 ppkWh on an OVO better energy agreement and was expecting it to fall from today (1st Oct) to something like 34 ppkWh, in line with Ovo's committment to automatically adjust prices as per Govt's Energy Price Guarantee (EPG).  However my Smart Meter is showing no change to my unit price.  My mother-in-law (who lives a mile down the road) is on an OVO SVR account rate and saw her Smart Meter account price increase today inline with the EPG.  Am I right to think the OVO are happy to automatically increas prices, but not so happy to automatically reduce them?  Or is this unfair.  The fact that they are not keeping customer communication lines open during this change means I am unable to ask them directly.  Hence resorting to this forum.

icon

Best answer by Emmanuelle_OVO 3 October 2022, 12:52

View original

176 replies

Userlevel 3

What are the new rates kWh and standing charges going to be ?

Userlevel 7
Badge +1

@Jacko6625

You can see them now on this page

https://account.ovoenergy.com/plan

Userlevel 3

 

Userlevel 7
Badge +3

I thought OVO had emailed the new rates to their customers.

 

Ignore the annual costs. Yours will be different, but this shows the rates I've been given.

 

 

Userlevel 3

Thanks my electric is 39p standing charges 39p  per kWh charge 

And gas 27p standing charges 10p per kwh charge.

 So maybe I’m paying less? And thats why I didn’t get a notification.

Userlevel 7
Badge +1

Thanks my electric is 39p standing charges 39p  per kWh charge 

And gas 27p standing charges 10p per kwh charge.

 So maybe I’m paying less? And thats why I didn’t get a notification.

The rates vary by region. So that is likely to be why you are paying less. 

Userlevel 7
Badge +3

The tariff figures on your IHD are not necessarily the correct figures that you will be paying and they are not used for your bill. If you think they're wrong contact OVO on Monday and ask them to send the correct figures to your IHD.

It doesn't affect your bill so there's no need to worry or panic about not being able to contact OVO until Monday.

Hi M.isterW,  As per my response to another fixed price customer of OVO with a fixed price higher than the Energy Price Guarantee (EPG), I’m not sure why my parents Smart Meter IHD immediately reflected the increase to the EPG (ca 34 ppkWh) from the OFGEM Apr-Sep CAP on her OVO Better Energy SVR contract and my own OVO Smart Meter IHD (which is correctly reflecting my OVO Fixed Price contract unit price) has not changed.  OVO has said in their EPG guidance that all of their Fixed Price Customers paying more than £2,500 pa for their energy on one of their Fixed Price contracts would automatically be moved to a SVR and therefore pay for their Energy at the EPG unit price (ca 34 ppkWh) on the 1st October.  I therefore don’t understand why my Smart Meter IHD has not reduced to this EPG unit rate for electricity (as per my parents Smart Meter).  Strikes me OVO have either not yet got round to the change or something has gone wrong with their change management plans for today and they are now going to be stressing out Fixed Price customers in same position as myself and then have to make some post 1st October charging adjustments, which is all very inefficient and not what I expected from my energy supplier.

Hi Again M.isterW,  Sorry I got the threshold where OVO Energy will move their Fixed Price contract customers onto a SVR.  What OVO actually said in their FAQ’s for this EPG price adjustment was:

“If you're currently on a fixed plan where prices for a typical household are over £3,500 per year, we'll automatically move you to our Standard Variable Tariff. This will mean you're on the best rates possible. We'll take care of everything and we'll be in touch over the next few weeks to confirm exactly what this means for you.”

My annual contract was working out at something like £4,800 - so I would fall into this category of >£3,500 pa customers, but as per the above, nothing has happened today and I’ve heard diddly squat from OVO in the weeks leading up to today.

Userlevel 3

I’m exactly the same maybe today will hear something about changing over. 

Userlevel 7
Badge +1

Hi @Corgimajor

I don't work for OVO. 

Can you give us some figures off this page on the website not the app. Then we can do some calculations for you if you would like us to? 

https://account.ovoenergy.com/plan

Electric Future Annual Consumption

Electric Unit Rate

Electric Standing Charge 

 

Gas Future Annual Consumption 

Gas Unit Rate 

Gas Standing Charge 

​​​​​​

Then we can explain in more detail how it will work in your situation. There are a number of things going on. Firstly we need to see if you are a typical household. For example a typical household for a dual fuel customer will be one that uses 2900kWh of electricity and 12000kWh of gas or less. 

"If you're currently on a fixed plan where prices for a typical household are over £3,500 per year" 

The term "typical household" is important as to whether OVO reduce your unit rate etc and keep you on your fixed rate tariff or automatically cancel your fixed rate tariff and put you on the SVR tariff. 

Would you like us to help? 

 

 

 

​​​

 

 

 

Userlevel 1
Badge +2

Jeffus, we meet again! I too am on a fixed rate and have heard nothing from Ovo. It appears they have taken the weekend off during the most momentous change for many people. Frankly I find the Ovo advice confusing. Basically it implies, I say implies because I struggle to find a categorical statement, that anyone on a fix above the SVR will be reduced to the SVR or have there tariff discounted in some unexplained manner. It also says they will be “in touch over the next few weeks to confirm exactly what this means for you.”. Next few weeks is a bit rich when other suppliers seem able to enact the changes promptly.

Ovo need to smarten their customer service act up. It is no good saying ring them when they are obviously struggling with the volume of calls answering questions they could address with posts on the website.

Finally, I would caution against using the Gas and Electric Future Annual Consumption figures on the Plan page as they are, in my experience, utter garbage. I do not know what algorithm they use but mine appears to simply factor my low usage over summer and assume that will continue over winter.

My rates haven’t been reduced in line with the EPG either. I have been with Ovo for less than 3 months and I already regret switching suppliers, their customer service is abysmal!

Userlevel 7
Badge +1

Jeffus, we meet again! I too am on a fixed rate and have heard nothing from Ovo. It appears they have taken the weekend off during the most momentous change for many people. Frankly I find the Ovo advice confusing. Basically it implies, I say implies because I struggle to find a categorical statement, that anyone on a fix above the SVR will be reduced to the SVR or have there tariff discounted in some unexplained manner. It also says they will be “in touch over the next few weeks to confirm exactly what this means for you.”. Next few weeks is a bit rich when other suppliers seem able to enact the changes promptly.

Ovo need to smarten their customer service act up. It is no good saying ring them when they are obviously struggling with the volume of calls answering questions they could address with posts on the website.

Finally, I would caution against using the Gas and Electric Future Annual Consumption figures on the Plan page as they are, in my experience, utter garbage. I do not know what algorithm they use but mine appears to simply factor my low usage over summer and assume that will continue over winter.

@Electric_Twit

I find this quite a good explanation of what happens if you are on a fix now

https://www.gov.uk/government/publications/energy-bills-support/energy-bills-support-factsheet-8-september-2022

There are some typical figures used in the description so you do have to be a bit careful. 

If you’re on a fixed rate tariff

Fixed tariff customers will have the same support where appropriate. Unit price reductions of up to 17p/kWh for electricity and 4.2p/kWh for gas will apply to fixed tariff customers that currently have unit rates above the EPG.

A ‘floor’ unit price for gas averaging at 10.3p/kWh and for electricity averaging at 34p/kWh for direct debit customers will be introduced, because some people will have fixed at much lower prices some time ago, meaning their annual payments will already be below the £2,500 average set by the Energy Price Guarantee.

Customers on fixed rate tariffs that are already below the floor unit prices will continue to enjoy those low rates, but will not receive a further discount for the duration of their fixed term.

For the small number of consumers who fixed at a high rate exceeding the October Ofgem price cap of £3,549, they will receive the full discount of 17p for electricity and 4.2p for gas. However, given the higher starting point, their fixed rate tariff will still have a unit rate that is above the EPG rates. However in OVOs case these customers will be transferred to the SVR for free

Energy suppliers will adjust fixed tariffs automatically. Customers on fixed tariffs do not need to take any action to get the benefits of this scheme.

 

Userlevel 1
Badge +2

Jeffus, I really appreciate your efforts to assist people, but I sum it up like this. Why are we relying on a customer forum when it is the company’s responsibility to inform their customers. The bottom line is we will not know a thing until they act. As I am retired with far too much time on my hands I think I will lodge a formal complaint to OFGEM, it might make me feel better!

Badge +1

If you think OVO is bad think again. E.On Next is truly appalling. Tariffs wrong , website shut, DD confusion, count yourself lucky here.

Hi @Jeffus ,  thank you for the offer, but I'm good thanks, I'm retired, but had a career in energy sector so have a reasonable grasp of problem.  Like @Electric_Twit - I am shocked at lack of customer support from Ovo during this significant transition.  If I'd known it was going to be this poorly managed I woukd have cancelled my Fix on 8th September when Govt pledged the EPG and floated at the SVR, after all the £30 cancellation fee is small price to pay.  However it was OVO's early communications on their plans to manage the transition that reassured me it was OK to sit tight and wait for them to sort it out.  My move on to this Forum yesterday was just to see I wasn't alone amongst high priced Fixed price customers of OVO to be in limbo (clearly I'm not).  I figure (hope) OVO are busy trying to sort out the transition right now and I may still see a change in my tariff in next 24 hrs, if not I figure I will spend an hour or two tomorrow listening to whatever tune OVOs customer service manager has determined will test their customers patience to the point they hang up before an overly stretched customer service assistant picks up their call.  Deep joy.

Userlevel 7
Badge +1

Hi @Jeffus ,  thank you for the offer, but I'm good thanks, I'm retired, but had a career in energy sector so have a reasonable grasp of problem.  Like @Electric_Twit - I am shocked at lack of customer support from Ovo during this significant transition.  If I'd known it was going to be this poorly managed I woukd have cancelled my Fix on 8th September when Govt pledged the EPG and floated at the SVR, after all the £30 cancellation fee is small price to pay.  However it was OVO's early communications on their plans to manage the transition that reassured me it was OK to sit tight and wait for them to sort it out.  My move on to this Forum yesterday was just to see I wasn't alone amongst high priced Fixed price customers of OVO to be in limbo (clearly I'm not).  I figure (hope) OVO are busy trying to sort out the transition right now and I may still see a change in my tariff in next 24 hrs, if not I figure I will spend an hour or two tomorrow listening to whatever tune OVOs customer service manager has determined will test their customers patience to the point they hang up before an overly stretched customer service assistant picks up their call.  Deep joy.

Let us know how you get on as it will really help us help other customers. 

I haven't read all your posts. So am i correct in thinking OVO haven't updated your IHD and hence smart meter or your plan page yet?

https://account.ovoenergy.com/plan

Just for others benefit, due to the way the government have structured the support, OVO won't be automatically cancelling @Corgimajor fixed price and putting them on the Simpler Energy tariff. Instead as per the rules, OVO will/should be keeping @Corgimajor on his fixed price tariff but altering his unit cost to match the Energy Price Guarantee rate. The rate varies by region which can make it even more confusing. 

The kWh price on your IHD and hence smart meter in your home isn't the price you actually pay for electricity. The price you pay is on your plan page

https://account.ovoenergy.com/plan

They should be in sync but sometimes get out of sync with every supplier. We see a few cases with all suppliers where they are not in sync. Sometimes this is due to the supplier, sometimes for other reasons. 

If they are not in sync  at any time you can ask the OVO support team to issue the SMETS command Update Tariff Configuration. There is no point doing this until you are obviously sure the tariff on the plan page is correct. Given the huge  charge in rates all on the same day i would assume the whole smart meter network not just OVO customers are struggling with smart meter updates. 

Just checked my OVO account and my standing charge and kWh charges for yesterday and today are the same as they have been previously on my better energy fix i.e they haven't implemented the government price cap drop as they said they were going to.

Hi @Jeffus, yes I'll pass back to this thread whatever guidence I get if I need to call them (i.e. if no change on tarrifs embedded in my smart meter).  Just one observation on your last post though.  OVO have said in their FAQs on this issue that any fixed price customer with an annual cost forecast in excess of £3,500 (sadly a threshold I would easily exceed) would have their fixed price contract converted to a Standard Variable Tariff contract and therefore have their energy priced at the EPG tariffs (ca 34 ppkWh for Electricity and 10.3 pkWh for Gas).  How they arrived at this annual cost threshold I'm not sure, but given I was on a tariff of 50.32 ppkWh (inc VAT) for electricity (I am 100% electricty) I figured either an SVT contract or a discount of 17 pkWh off my fixed price would put me in a similar place tariff-wise.  Perhaps it is this conversion of contracts that has had the delaying effect on customers like me seeing this delay to new tariffs being applied.  In any event some backoffice adjustment/credits to statements straddling 1st Oct may be required.  I'll keep this thread posted.

Badge +1

I constructed this for posting to the E.On Next forum but most of it applies here to.

 

E.On next have failed to explain to customers what would happen today with the pricing of nearly all customers energy accounts.

It appears that as stage one of their updating, they have incorporated the rates deriving from the OFGEM review published at the end of August.  Most customers would have seen substantial increase in their bill had these increases (circa 80%) gone ahead.  When stage two (to incorporate the unit price reductions deriving from the Energy Price Guarantee (EPG)) will be completed is currently unclear

In the event, the government stepped in with the EPG, which has applied a significant reduction to the October 2022 OFGEM rates, but has left the Standing Charges unchanged from what OFGEM authorised.- these are in general a slight increase.

For those customers on the variable rate tariff, the prices after the Government EPG has been incorporated  will see their unit prices up by around 25% instead of the 80% allowed by OFGEM.

E.On Next has been most reluctant to give away details of pricing up till now and may have been struggling to get the changes necessary properly programmed into their computers.  Customers can though refer to the pricing by EDF which was published about 10 days ago.  E.On Next’s pricing will likely be very similar.

government_energy_price_guarantee_prices._standard_variable_deemed_and_welcome._credit_meters.pdf (edfenergy.com)

Customers on fixed tariffs will see a range of unit price reductions because of the EPG, but prices will not go below the EPG rates.  Some customers who fixed very recently might find, even after the EPG reductions have been applied, that their prices remain above the EPG.  It’s likely that the company will bring prices down to the EPG for these customers, if not customers can exit their fix and go onto the variable rate tariff.

E.On next have suspended most of their web site functions for the time being and are no doubt working furiously to get thing right.

Most of the contributors here are volunteers who have no access to the company’s systems so can’t actually correct anything for you.  Customer services will be overwhelmed at present, but hopefully the website will be up and running again soon, accounts and tariffs will be updated and something approaching normal service will return.

My advice to customers is to be as patient as possible, but concentrate on the fact that unit prices will now remain the same for 2 years but bills can go up or down depending on your consumption.  There is no cap on bills, The caps are on prices.  Use more  - you pay more. Use less - you pay less.

Userlevel 5

Updated on 21/11/2022 by Emmanuelle_OVO: 

 

The current Energy Price Guarantee (EPG) will stay in place, at £2500 (for the average household) until 31 March 2023.

 

How this affects your OVO plan depends on the prices you were paying before October 1st. You should’ve had an email or letter to outline what’s happening.

 

If your fixed plan prices were higher than our variable plan, Simpler, even with the EPG in place, we will change you to the cheaper Simpler plan and backdate this from October 1st. Whatever is the cheapest option for you, that’s what we went for. The email/ letter will have outlined this in detail. 

 

If you never got an email or letter about this, please check your email provider’s junk/spam folder. There will be notes on your account about the changes made, so our Support team can update you if you’re not sure what’s happened. 

 

After the 31st March, the discount provided by the Energy Price Guarantee will decrease, bringing the average household bill to £3000, (depending on household usage) until 31st March 2024. 

 

This means that the average customer's overall bill cost will increase by around £500 per year, from April. The Energy Bill Support Scheme (the £400 split over 6 months) will also end in April, so customers will see a rise in their bills as a result.

 

We’re also expecting Ofgem to announce an increase to the Price Cap at the end of November. Due to the way in which the Price Cap and the EPG support level is set and applied, this will mean that some households will still see an increase in their prices from 1 January 2023. If you are affected by this change we’ll be in touch to let you know.

 

We understand that this is a difficult time for many of our customers, we’ll ensure that our website is kept up to date with all the latest guidance

 

If you’re worried about your bills, we have lots of support available. See here for more information about OVO’s Customer Support Package

 

 

 

Hey @Corgimajor,

 

Sorry for the issues you’re having.

 

OVO will directly contact all customer affected by the Energy Price Guarantee , both those on fixed rate plans and the Simpler Variable Plan. Please keep an eye on your emails. 

 

If your prices have changed, you have received confirmation of this and your Online Account has adjusted. You don’t need to worry about your In Home Display (IHD) showing the wrong rates.

 

We’re aware that a small number of our In Home Displays have a fault that’s causing them to show incorrect costs. We’ve emailed affected customers in advance to confirm that this is an issue with the display only and not the actual meter, meter reading or energy bills.

 

You don’t need to do anything and an automatic fix will happen within the next 24 hours.  

 

See more advise in this similar thread:

 

 

I constructed this for posting to the E.On Next forum but most of it applies here to.

My advice to customers is to be as patient as possible, but concentrate on the fact that unit prices will now remain the same for 2 years but bills can go up or down depending on your consumption.  There is no cap on bills, The caps are on prices.  Use more  - you pay more. Use less - you pay less.

 

It is important to note that the price guarantee is based on an average user, so if you’re on a fixed plan and your energy bills exceed £2500, this doesn’t necessarily mean your prices will change. You may be a high user. 

 

Hope this helps.

Hi @Emmanuelle_OVO,  thank you for the input.  My IHD is synch'ing fine with my smart meter so no problem in this respect.  It is just the fact that I'm in the dark as to what my new contract tariff rate for Electricity is going to be from 1st Oct 2022.   I'm 100% electric and my monthly DD is £356 so understanding what my new tariff is going to be and the consequential impact on my energy bill and DD payments is key to managing my household budget.  The fact that I've heard nothing from OVO on this prior to the change is not helpful.  I'm currently 11th in the queue on your chat service to chat to a customer service assistant to see if they can provide any further guidance with my request.  If I'm wasting my time then please let me know, but some guidance ASAP on this transition to a SVT or discounted Fixed price would be much appreciated. 

had a chat with ovo on whats app to-day because my rates stayed the same as i am on a 2 year fix they changed me over to a variable rate to get the cheaper prices.i asked them before they did it to send me a copy of rates for my area because all areas differ in price

Userlevel 1
Badge +2

So do I need to pester an already busy customer care assistant in order to expedite a change to my tariff, or find out my fix is not high enough to warrant moving back to the EPG levels?

Why not simply publish clear and unequivocal guidance? Why not do what EDF have done and publish the matrix of all the prices based on payment method and region?

Just to rub salt into my particular wound, I had a solar PV and home battery system installed in mid August and I am saving money at the rate of circa £70 per month, but I need the new rates (if I am getting new rates) to understand how much to reduce my Direct Debit. Not that I can do this because the facility has been temporarily been removed!

And I will once again repeat, I have a contractual right to know the price of the goods I am being supplied, just a minor legal matter.

Reply