Skip to main content
L
Rank 2
LSdevon
Rank 2
September 12, 2022
Solved

Recently signed up to a new fixed contract- Will my prices be affected by the Energy Price Guarantee?

  • September 12, 2022
  • 70 replies
  • 2301 views

I have recently signed a new contract for gas and electricity, the new figures are higher than the price cap figures. The new contract starts later this month. Will i be charged the higher new amount after the price cap starts in October or will they reduce the contract to the price cap?

Plus on the app it says people with certain criteria will be able to apply for free electric throws, free boiler service, free smart thermostats. How do i find out if i qualify? 

    Best answer by Emmanuelle_OVO

    Updated on 09/09/25 by Chris_OVO:

    Hi @LSdevon,

     

    Welcome to the OVO Online Community. 

     

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

     

    The prices you’re paying for your energy may be changing in October. For all the up to date advice, see this page dedicated to the Energy Price Guarantee. We’ll keep that page updated with any changes as and when.

     

    If you pay by Direct Debit, we’d recommend you leave this unchanged until any price changes have been made in October. That way you know you’re paying the right amount. 

     

    If you don’t have a smart meter that sends us your readings remotely every day, we’d recommend you submit a manual meter reading this week or next via your online account.  

     

     For up to date information about the current price cap please head to our website. Or check out this helpful FAQ to find out more about how this may impact you and what support is available:

     

     

    Ofgem’s energy price cap limits what you pay for gas or electricity on a variable rate plan. You can see the latest information regarding the price cap levels and date changes on the Ofgem site here.

     

     

    The way energy suppliers set prices is impacted by:

     

    The price cap – set by Ofgem, the energy regulator. This limits the amount customers on variable rate plans will pay for each unit of gas and electricity and sets a maximum standing charge.

     

    The Energy Price Guarantee – provided by the government to help households with energy costs during the energy crisis. It’s a discount on gas and electricity prices and is in addition to the price cap. It applies to both variable and fixed rate plans. If the Energy Price Guarantee (EPG) is above the level of the price cap, it won’t impact prices for anyone who pays monthly. 

     

     

    What this means if you pay monthly for your energy

     

    If you're on a variable rate plan, your unit rate and standing charge will change on 1st January, April, July and October, in line with the new price cap. We’ll write to you to let you know if this impacts you personally. Your actual bills will still depend on how much energy your home uses.

     

    If you're on a fixed rate plan, the price cap doesn't affect prices for fixed-rate plans. We're keeping your prices as they are for the length of your contract to protect you from any price increases.

     

     

    What this means if you Pay As You Go for your energy

     

    All Pay As You Go prices are variable – these will change with the new price cap on 1st January, April, July and October.

     

     

    Gas

     

    Customers will receive an additional discount on their gas unit rate through the Energy Price Guarantee (EPG) so that most customers will pay less than Pay Monthly customers.

     

    This discount will be reviewed every 3 months. You don't need to apply, and there is no need to contact us – the discount is applied automatically.

     

     

    Electricity

     

    Electricity prices on Pay As You Go mean that most customers will already pay less than the equivalent for Pay Monthly.

     

    You can also check out more information on the Price Cap set by Ofgem, here.

    ​​​​​​

     

    Support available for customers who may be struggling with their bills

    ​​​​

    70 replies

    Show previous replies
    Emmanuelle_OVO
    Retired Moderator
    Emmanuelle_OVO
    Retired Moderator
    October 4, 2022

    Hey @coco34ymail.com,

     

    If the unit rates and standing charge you pay are higher than the new Energy Price Guarantee then OVO will contact you directly. 

     

    What are your current unit rates and standing charge? It sounds like your referring to your direct debit when you talk about prices.

     

    The direct debit is based on usage, so if you are using more we’ll recommend you increase your direct debit. The best way to make sure your direct debit review is accurate is to submit actual reads to your Online Account. 

     

     

    If your direct debit is too high, or you are building up a large credit balance you can reduce your direct debit and request a refund through your Online Account:

     

     

    Here is more information about how OVO calculates your direct debit:

     

     

     

     

    Hope this helps. 

    Renewable Energy? Big Fan.
    C
    Rank 2
    coco34ymail.com
    Rank 2
    October 4, 2022

    I am not too bothered about prices per KW as its what comes out of my bank that concerns me and I budget monthly so keep a close eye on it.

     

    If OVO want to contact me to reduce my prices per KW then fine but they are difficult to deal with as I have previously experienced so won’t be ringing them anytime soon.

     

    I’m standing firm on the Direct Debit increase and still say £190 increase per month is a scandalous attempt from OVO to make price hiking alot easier to take and as I have said previously the excuses offered by OVO as to how direct debits is non sensical and doesn’t offer a reasonable explanation.

     

    Coco
    Emmanuelle_OVO
    Retired Moderator
    Emmanuelle_OVO
    Retired Moderator
    October 5, 2022

    Hey @coco34ymail.com,

     

    The Energy Price Guarantee refers to unit rates and standing charges. The direct debit is based on usage. If you use more, you have to pay more.

     

    But if you think your direct debit is being over estimated, I'd advise submitting an actual meter reading to your Online Account. That way you can ensure your billing is correct.

     

    We have some great guides advising how OVO calculates customers direct debits:

     

     

    If your direct debit is too high, or you are building up a large credit balance you can reduce your direct debit and request a refund through your Online Account:

     

     

    Here is more information about how OVO calculates your direct debit:

     

     

     

     

    Renewable Energy? Big Fan.
    C
    Rank 2
    coco34ymail.com
    Rank 2
    October 5, 2022

    What is the point of a smart meter if you want meter readings.

     

    My meter usage is fine and don’t doubt the readings are incorrect, if my usage had risen dramatically then I would question it and have a good reason for the £190 increase in monthly direct debits. 

     

    The above isn’t the case and yet I am still waiting for OVO to send me any new rates etc???

    Coco
    Blastoise186
    Super User
    Blastoise186Super User
    Super User
    October 5, 2022

    It takes a while to send out several million emails. Rate limits on both sending and receiving infrastructure means that OVO can’t just blast them out to literally everyone at once. Be patient.

    You should get an update by the end of the week.

    Securing energy by zapping security bugs... For that is The Blastoise Way! Remember, I'm just like you - AI Powered Evil Geniuses aren't Staff!
    C
    Rank 2
    coco34ymail.com
    Rank 2
    October 5, 2022

    It takes a while to send out several million emails. Rate limits on both sending and receiving infrastructure means that OVO can’t just blast them out to literally everyone at once. Be patient.

    You should get an update by the end of the week.

    I am not too bothered about a new rate as I can currently afford my monthly usage, my point is….

     

    OVO have been very quick to increase direct debits by £190  in my case but haven’t given me any calculations to base it on. 

    They have known about this for some time and are sitting back waiting for the last minute….not sure why.

    I understand price rises and an increase in usage now the darker seasons are upon us so expect an increase but not 100+% with no real answer or workings out.

    My fixed rate tariff is on until March 2023 and although I have been told on the forum I pay more than a few am happy with my Fixed Rate tariff but was slightly miffed at OVO trying to increase my DD over 100%.

     

    I am in credit every month and make sure  i pay for more than I use.

     

    Baffled.com

    Coco
    Jeffus
    Rank 20
    Jeffus
    Rank 20
    October 5, 2022

    Hi @coco34ymail.com

    I don't work for OVO.

    Have a look at this page on the website, not the app

    https://account.ovoenergy.com/plan

    Here you will find your unit rates, standing charges and something called Future Annual Consumption. This is the amount of electricity and gas OVO currently estimate you will use over a year. The system automatically adjusts the number as it gets a better idea of your usage

    Here is mine for example

    OVO use the Future Annual Consumption to calculate your direct debits. You can manually calculate your annual cost and hence direct debits using the Future Annual Consumption. 

    If you post the data from the page i am sure someone here can do the calculations for you if it would help to get a second opinion. Obviously you may simply be happy to do it yourself. 

     

     

    C
    Rank 2
    coco34ymail.com
    Rank 2
    October 5, 2022

    My plan doesn’t show the Future annual consumption figures.

    Coco
    juliamc
    Rank 20
    juliamc
    Rank 20
    October 5, 2022

    What does it show ? can you post a pic of it..

    Note this is on the MyOVO website page, not the app.

    Blastoise186
    Super User
    Blastoise186Super User
    Super User
    October 5, 2022

    You need to look at https://account.ovoenergy.com/plan from a computer, not from a phone in the app.

     

    Securing energy by zapping security bugs... For that is The Blastoise Way! Remember, I'm just like you - AI Powered Evil Geniuses aren't Staff!
    Show more replies
    Terms & ConditionsAccessibility statement

    OVO Energy Ltd, Floor 5, Crescent, Temple Back, Redcliffe, BS1 6EZ, (Company no. 06890795) registered in England and Wales.

    OVO (S) Gas Limited is registered in England and Wales (Company No. 02716495) at Floor 5, Crescent, Temple Back, Redcliffe, BS1 6EZ.

    OVO (S) Gas Limited is part of OVO Group Ltd