Increases in distribution and transmission costs lead EDF Energy to review its electricity prices
- Following this review, EDF Energy will be implementing a price increase of 2.6% to some of its regional electricity tariffs affecting a minority of its electricity customers
- Affected customers paying Standard prices can hold their current rates by signing up to Energy Discount Planiv
EDF Energy will be implementing a price increase of 2.6% to some of its regional electricity tariffs in a number of areas* affecting a minority of its electricity customers. This follows a review of its electricity prices after an average rise of 16% in distribution and transmission costsi since its last electricity price change in March 2009. Distribution and transmissions costs currently represent around a fifth of a customer electricity bill.ii
A typical electricity customer affected by this price adjustment will pay less than £1 extra a monthiii. EDF Energy understands that in these difficult economic times, any increase in prices can have an effect on household budgets. Thawhy the company is offering Standard tariff customers Energy Discount Plan, a discounted product that will enable tmaintain prices at today’s levels, in advance of the new prices coming into effect.iv
These new prices will be effective from 1 October 2010 and we will be writing to all customers impacted over the coming weeks. Affected customers on our discounted Energy Assist product, available to households on low incomes, will receive an additional credit of £12 this yearv. Our fixed price products and gas prices are not impacted by today’s announcement.
EDF Energy is proud of its legacy of low prices, having cut prices three times since March 2009. Over the past two years, EDF Energy is the only major supplier to have consistently ranked in the top 2 cheapest suppliers for Standard Dual Fuel based on a national average of standard prices.vi EDF Energy remains cheaper than the former incumbent electricity supplier for Standard electricity tariffs on all payment methods in all but one area even after this price change.vii
Martin Lawrence, Managing Director, Energy Sourcing and Customer Supply at EDF Energy, said: "EDF Energy has made every effort to minimise the size and impact of this price increase, which is why we are offering Standard tariff customers Energy Discount Plan so they can maintain their current prices.iv
The rise in transmission and distribution costs has impacted the cost of supplying energy to our customers. We have been absorbing these costs for many months, but we now have to pass on some of the resulting rise to our customers.
EDF Energy is unique in having been among the cheapest two major suppliers for Standard Dual Fuel tariffs consistently over the last two years, which reflects our enduring commitment to offering competitive prices to our customers".
As well as offering competitive prices, EDF Energy continues to advise its customers on how to save money by providing them practical and effective ways to use their energy more efficiently and cut their energy use.
For affected customers paying by Direct Debit, this change in prices will be considered in the next review after its effective date. Anyone wanting to discuss their bills, should call EDF Energy customer services on our freephone number 0800 096 9000viii or click to www.edfenergy.com for more information.
*Customers with standard meters are affected in the following areas: Eastern, East Midlands, West Midlands, North East, North West, North Wales, South Wales, North Scotland, South Scotland, Southern and Yorkshire. Only standard Economy 7 meter customers in London, South East and South West are also impacted by this price change.