How much of your electricity bill is actually for the electricity you use?



Is your electricity bill made up of “hidden” charges? Well an energy expert seems to think so.

Energy suppliers and brokers have been challenged by energy expert, David Hunter, from global energy management company, Schneider Electric, to be open about these hidden costs. Unknown levels of commissions to energy brokers and price comparison websites are contributing to higher energy bill costs for householders and industry.

Speaking on BBC1’s Breakfast programme, Hunter said, that we are facing increasing energy bill announcements but weren’t being given full visibility of how the costs are made up. Asked to explain whether bill increases were justified, and what the reasons were behind the increases, Hunter said there was not enough competition in the market, and although we shouldn’t let the suppliers off the hook, increasing costs of green subsidies, energy efficiency schemes and rewiring Britain were adding more to bills at the moment than wholesale costs.

However, he further explained that an unknown portion of the "suppliers’ costs" on the bill is paid in the form of commission to energy brokers and price comparison websites. While these companies provide a valuable service, Hunter said, "One thing we don’t see broken down in the figures is how much money goes in hidden commission from the suppliers to those websites, and I think that would be interesting to see."

He added, "At a time when rising bills are placing real pressure on the cost of living, and also increasing the costs of British industry doing business, it has never been more important that all aspects of the bill are made transparent. From supplier/producer profits to green policy costs and broker commissions, all charges should be open and scrutinised so that homes and businesses don’t pay a penny more than they need to, just to keep the lights on.

"As a start, I call today on both suppliers and brokers to clearly state the amount of hidden commission included on energy bills, and would ask customers whether they are prepared to put up with secret third party costs at a time when bills are shooting up."

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Mark Jenkins is the Electrical Course Development Manager here at Access Training. If you would like to learn more about electrical work and maintenance, you might want to consider one of the many electrical training courses we offer. These are available for both DIY enthusiasts AND people looking to gain the vital qualifications needed to make the career change to become an electrician. To find out more give us a call on 0800 345 7492.

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