9 Nov 10

EDF Energy announces Winter Price Freeze Guarantee

Company also currently offers the cheapest deal on the market for new customers who switch to EDF Energy’s Online S@ver Version 7 which includes a £100 welcome bonus i

EDF Energy, Britain’s largest producer of low-carbon electricity, has pledged to keep standard iigas and electricity prices for residential customers at their current levels this winter, until at least the start of March 2011.

EDF Energy’s Winter Price Freeze Guarantee ensures new and existing customers can benefit from stable, competitive energy prices at the time they need them most. Energy consumption is typically at its highest in winter with average gas use in the coldest months of December and January more than six times higher than in July and August.iii

EDF Energy is freezing its standard energy prices which means, on average, they will be up to £70 below the level of Scottish and Southern Energy’s dual fuel prices when its 9.4% gas price rise comes into effect on 1 December. iv

In addition, EDF Energy recently increased the welcome bonus, available until 30 November 2010, to £100 for new customers who sign up to Online S@ver Version 7, for both gas and electricity. This means a typical dual fuel direct debit customer switching to EDF Energy for this tariff would have an annual bill of £867, currently making it the cheapest offer on average in the market.I

Jim Poole, Director of Residential Customers, EDF Energy said: "We know these are difficult times. With people using over six times more gas in winter than in summer, any help we can provide at this time of year goes a long way. On average, EDF Energy had the cheapest standard prices during the coldest months last winter and our offers remain highly competitive.v With this Winter Price Freeze Guarantee we are giving customers the good news that EDF Energy’s competitive prices will remain at their current levels throughout this winter.

"In addition, we currently offer the cheapest deal on the market for new customers with our Online S@ver Version 7 deal I, giving new customers an added reason to sign up to EDF Energy and make big savings on their bills."

For customers looking for even longer-term security, we offer a unique longer-term fixed product – Fixed Price 2015 – guaranteeing customers price security until June 2015. This product offers the longest guarantee in the market against any price rises and will help customers manage their budget for energy costs more accurately and easily.

Through its ongoing commitment to competitive prices, EDF Energy continues to help its customers save money by providing them practical and effective ways to use their energy more efficiently and cut their energy use.

EDF Energy is planning to invest around £400 million in energy efficiency measures over the course of the entire CERT programmevi, much of which is targeted at vulnerable customers and, to date, we have provided more than 300,000 professionally installed insulation measures to British homes. People can also sign up to Team Green Britain, where anyone can receive ongoing advice on how to reduce their carbon footprint by up to 20% (www.teamgreenbritain.org)

The latest 2010 JD Power survey on customer satisfaction found EDF Energy had the most satisfied gas customers of any major supplier.

i Based on a national average of Online S@ver Version 7 direct debit prices at typical consumption combined with the £100 welcome bonus for dual fuel customers. The customer's account will be automatically credited with a Welcome Bonus of £75 for Electricity and £25 for Gas, within 90 days of the account being live on supply and the credit will appear on their first bill in most cases. Full Terms and Conditions are available on http://www.savetodaysavetomorrow.com/.

Typical Consumption is 3,300kWh of electricity and 20,500kWh of gas.

ii More than 90% of EDF Energy customer accounts are on standard tariff prices. Standard refers to all gas and electricity tariffs with a variable price that are not time limited, and includes any products that are linked to our standard tariff prices such as Energy Discount Plan or Energy Assist. Tariffs across all payment methods are included in this pledge, and note standard tariffs can refer to various meter types and not just standard domestic meters.

iii On average, an EDF Energy customer will use 4.6% of their total annual gas consumption in July and August – compared to 31.0% of annual total gas consumption in December and January. This equates to 6.7 times more usage in December and January when compared to usage in July and August.

iv Difference is based on a typical annual dual fuel bill with EDF Energy compared to an equivalent Scottish & Southern Energy (SSE) bill, assuming the customer pays by fixed monthly direct debit. This saving includes discounts and VAT, and is based on prices correct as at 1st December 2010 (effective date of SSE gas price increase).

v Customers with EDF Energy paid the lowest dual fuel bill during December 2009 and January 2010 for any of the three main payment methods (fixed monthly direct debit, cash/cheque or prepayment). Comparison made using typical standard domestic variable bills for EDF Energy and the other major five suppliers (SSE, British Gas, npower, E.On and Scottish Power), averaged across all regions.

vi The time-period of the Carbon Emissions Reductions Target (CERT) scheme currently covers April 2008 to December 2012.