01/12/2009 by David Slade.

The changes come after an Ofgem investigatio

A timetable has been set by the energy regulator for new rules to come into force that ensure the fairer treatment of consumers.

All energy customers will be sent their first annual statement by their supplier by December 2010, Ofgem said.

Changes that allow pre-payment meter customers to switch suppliers even if they have a debt on bills of up to £200 will be in place by January.

The changes come after an investigation by the regulator into household bills.

Bills clarity

Ofgem started the investigation into the state of the energy market in the UK in February 2008.

The [new standards] call on suppliers to be clear, fair and courteous and to take the confusion out of comparing products Andrew Wright, Ofgem

In its initial findings a year ago, Ofgem said that there was no evidence of collusion between the “big six” suppliers in setting prices and the market was “working well” for most consumers.

But it raised concerns over the difference in prices for those paying in different ways.

At the start of September, the first of the new rules - which ensured different payment methods reflected the cost to the supplier of offering those methods - was brought into force.

The new annual statement, which customers will start to receive from July, will provide customers with details such as their energy tariff, consumption and a reminder of the customer’s right to switch.

Other new rules include the provision of written quotes for doorstep sales, which must be supplied from 18 January 2010.

The same date has been set for the requirement that small businesses be given clear contracts, and more notice of when a new contract can be negotiated.

“The new standards define the spirit of the new rules to go with the letter of the laws,” said Ofgem’s Andrew Wright.

“They call on suppliers to be clear, fair and courteous and to take the confusion out of comparing products.”

From BBC Web site

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01/12/2009 by David Slade.

The government is unveiling plans for every home in Britain to be equipped with smart meters by the end of 2020.

The move has been met by a chorus of approval from the energy industry and by a consumer watchdog.

But how will this affect householders, and will it cost or save them money?

What is expected to happen?

The government wants every home in Britain to be installed with smart meters - a device that shows exactly how much gas and electricity is being used.

This should bring an end to estimated bills, because the technology could send back an accurate meter reading to your energy company every day.

According to the Energy Retail Association, which represents the energy companies, the technological advance would be the equivalent of using wireless broadband instead of sending a telegram.

No more estimates. Will that mean they get my bill correct?

There have been thousands of complaints from householders who claim they have been overcharged on direct debit bills.

Consumer groups said this meant energy suppliers were getting free loans from customers. In March, regulator Ofgem told the companies to make charges clearer but said there was no “systematic” abuse of the direct debit system.

Smart meters should put this debate to bed, and would mean that householders no longer need to let the gasman in to read the meter.

People might even by able to check their usage on the internet, or share tips for cutting bills on social networking websites.

But installing these meters will be a big job. Some 26 million electricity and 22 million gas meters will need to be fitted.

That sounds expensive. Who pays?

You will not receive a bill from your energy company for installing a new meter, but you will pick up some of the cost.

Industry estimates suggest that the total installation bill will be £7bn.

That amounts to about £15 per household per year between 2010 and 2020, but £10 of this will be covered from savings made by companies who no longer need to pay people to read meters, and the cost of dealing with complaints should fall.

That leaves £5 a year that would be put onto bills, but the industry thinks that - by keeping an eye on the meter - householders will cut their energy use and so reduce their annual bill by between £25 and £35.

These savings might come by changing habits such as switching off the television, rather than leaving it on standby.

Consumer groups are keen to see all the savings made by energy companies are passed on to the consumer, rather than just boosting their profits.

How do I get one of these meters?

There are trials of smart meters going on at the moment, so some householders have already got them.

There will be three months of consultation and, if the scheme is given the final go-ahead, it will be a huge job to replace the UK’s meters.

“Government should show leadership and make sure that this roll-out is joined up and the opportunity is not wasted,” said a spokesman for Consumer Focus, the consumer watchdog.

Under the plans, each home would get a new smart gas meter and a new electricity meter. One is the “host” meter, that will communicate with you and the supplier.

Will this make it more difficult to switch supplier to save on bills?

Your new smart meter might have your current supplier’s branding on it, but don’t be fooled.

They might look different, but all the meters should have the same specifications so if you want to switch suppliers you will not need to get a new meter installed.

Switching suppliers to get a better deal should be as easy as it is now.

You will not get a different meter if you pay in different ways - such as pre-payment or quarterly by cheque.

What about bills at business properties?

Large businesses should have smart meters within five years, according to the government.

Small businesses should get smart meters in the same timeframe as consumers.

From BBC Website

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01/12/2009 by David Slade.

The cost of installing and owning solar panels will fall even faster than expected according to new research.

Tests show that 90% of existing solar panels last for 30 years, instead of the predicted 20 years.

According to the independent EU Energy Institute, this brings down the lifetime cost.

The institute says the panels are such a good long-term investment that banks should offer mortgages on them like they do on homes.

At a conference, the institute forecast that solar panels would be cost-competitive with energy from the grid for half the homes in Europe by 2020 - without a subsidy.

Basically everything (in the industry) is bound to grow still further. Growing further means less cost Heinz Ossenbrink, EU Energy Institute

Incentive programmes for solar panels in Germany, Italy and Spain have created manufacturing volume that’s bringing down costs. Solar panel prices dropped 30% last year alone due to an increase in output and a drop in orders because of the recession.

But Heinz Ossenbrink, who works at the institute, said China had underpinned its solar industry with a big solar domestic programme which would keep prices falling. There are large-scale solar plans in the US and India too.

Panels had been expected to last for 20 years and price calculations were based on this (with a free energy source, purchase and installation represent almost the entire price of solar power).

But Dr Ossenbrink says the institute’s laboratory has been subjecting the cells to the sort of accelerated ageing through extremes of heat, cold and humidity that has long been a benchmark for the car industry.

Long lifetime

It has shown that more than 90% of the panels on the market 10 years ago are capable of still performing well after 30 years of life, albeit with a slight drop in performance.

Dr Ossenbrink says 40-year panels will be on the market soon.

A key goal for solar is what is known as grid parity. That is the point when it is as cheap for someone to generate power on their homes as it is to buy it from the grid.

It varies from country to country depending on electricity prices, but the institute estimates that Italy - which has a combination of sunny weather and relatively high electricity prices - should reach grid parity next year. Half of Europe should be enjoying grid parity by 2020, it estimates.

Cloudy northern countries like the UK could wait further, possibly up to 2030. But the day would come when solar panels on homes would be cost-competitive without a subsidy, even in Britain.

Dr Ossenbrink says: “Basically everything (in the industry) is bound to grow still further. Growing further means less cost. Less cost means grid parity.”

“We have been surprised in the past five years at the drop in prices. It’s due to good incentive programmes first in Germany then Spain and Italy. That created a kind of a boom that was helping industry to reduce costs and get into profitability. And when an industry is in profit it drives on its own.”

Owning solar

Professor Wim Sinke, from Utrecht University in the Netherlands, who leads the solar umbrella group the European Photovoltaic Technology Platform, says the industry has even greater ambitions.

“The target of the sector as a whole is to reach grid parity in almost all of Europe over the next 10 years. So by 2020 we should have grid parity in most of Europe,” he told BBC News.

Key sticking points for domestic solar, he said, would be the lack of flexibility in electricity grids to take in surplus generated energy and difficulties with finance.

Dr Ossenbrink said: “What I would like to see is the finance sector saying solar power is a product like financing a house - except they can predict the value of the solar panel much more safely than they can predict the value of the house in a volatile market.

“Electricity will never be given away free. Banks should offer mortgages on people’s solar panels like they do on homes - the bank should own the panel, then it would transfer to the householder when the loan has been paid off. It would be perfect for life assurances.”

It will take much longer for solar to match fossil fuel power at the point of generation, the institute says, as wholesale electricity prices are much lower than retail prices.

From BBC web site

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01/12/2009 by David Slade.

Partnerships for Schools 26 November 2009

The Secretary of State for Children, Schools and Families, the Rt Hon Ed Balls MP, today announced a £12m investment in new energy display meters providing schools with real-time digital information about their electricity use from January next year.

From January 2010, primary and secondary schools across England will be able to apply for a meter which will give a second-by-second reading on how much electricity a building is using. Pupils and staff will be able to see immediately the impact of switching on and off individual pieces of electrical equipment, computers and lights on easy to read display monitors.

Partnerships for Schools will be responsible for overseeing the delivery of the new display meters project, working in partnership with British Gas, as the selected private sector partner.

Notes to Editors:

• PfS is the government’s delivery agent for the full suite of capital investment programmes into schools, helping ensure that taxpayers get the best value from every education pound spent.
• PfS is responsible for the delivery of around £8bn investment into education until 2011– through Building Schools for the Future; the Academies programme; the Primary Capital Programme; and the Devolved and Targeted Capital Programmes.

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