Members’ rate change

  • 14 March 2018
  • 37 replies
  • 25134 views

  • Community Manager
  • 6173 replies
Hello everyone,

We’ve announced a change to our Members’ rate - that’s the amount you pay for energy - and I wanted to give you a little more information here in the Community.


Firstly, we’re not changing our monthly membership fee. That’s staying at £10 per fuel a month (including VAT).


Secondly, our dual fuel discount stays at £30 a year.


We’re only adjusting our Members’ rate (the unit kWh rates for renewable electricity and carbon offset gas). As you know, our Members’ rate is based on wholesale energy rates. There’s zero markup on the energy you use. You pay what we pay.

New rates:





Wholesale energy costs have risen significantly over recent months and as our variable tariff is based on these costs, we’ve decided to make an increase to our members’ rates, to reflect the price we pay for your energy.

You can read much more detail on the background to the rate change in our blog, here.

The rate change will take effect for all existing members on 31st March 2018. We’re emailing all members today to explain the rate change.

Anyone getting a quote and joining Pure Planet today will see only the new rate, which will be in effect by the time their switch completes.



We're not going to be changing everyone's Direct Debit because the increase is less than 1p per kilowatt hour.

We’re also going to be reviewing all members’ accounts over the next few months to make sure your balance and payment amounts are in line with your actual usage.


All members should give us latest meter readings - if you are not already doing so - by submitting them through the app, to ensure that your account is up to date.

We’ll contact you if we think anything needs to change.

That’s it for now. Any questions? Let's talk about it below.

Read more: We're lowering our membership fees


37 replies

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I haven't received any email myself, has it been sent to all?
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Marc;4915:
Hi @Gabolino
Cheers for posting. Yes, sent to all members. I will flag this with the team.
While I'm doing that could you quickly check your spam folder (or, if you're a Gmail user, your 'promotions' folder) - it may have gone in there?


Got it. It's in promotions ! Any idea how I can fix this?

I think my quote (given last year) is higher than my actual usage so I'm hoping overall there's no change
I quite understand the necessity of raising rates and have no problem with that. I am not sure though that I understand the mathematics of your email. Your email says the annual cost has gone up by £99, but my payments are going up by £207.24. How come it's doubled up plus a bit?
Thanks
Michael
Marc;4975:
Hi @MichaelOfHighwray
Thanks for posting in the community! I've moved your post to this existing thread about the rate change - as it can get confusing to have too many duplicate threads and replies, much harder to follow.

The difference in Direct Debits for some members (though not all) is because we have more usage info.
Members' original payments are based on usage figures provided to us when the quote is sent out. After the switch, we get usage history, and any readings sent to us, to get a more accurate forecast of energy use.

If we're proposing to increase a member's Direct Debit payments, it's because we want to make sure that they are paying the right amount for the energy they use. We don't want members falling into debt.

But if you think it's too high, get in touch and we can adjust them.

To get in touch with our services team head to Help in the app and type 'message the team' and they will respond when they can. It’s not a live-chat service but someone will get back to you.


Thanks for your reply.
I keep a detailed record of usage and we have used quite a lot more gas due to the exceptional weather and perhaps being a little cavalier with the thermostat.
Very difficult to compare old and new as Br/Gas had peculiar reading dates so we are never going to get a really accurate comparison without assumptions which inevitably will not always be correct. I'm happy to go along with the new payment schedule and see what happens. At the new rates I am still better off.
Yours and thanks
Michael
If only one tariff exists for all members , why does the chart at the top of this thread display different regional rates ?
When I signed up to Pure Planet I were signing up to a fixed rate so why are you changing the rules ?
Marc;4977:
Hi @Onfire
Cheers for your post.
We've never had a fixed rate. We offer one tariff for all our members. It’s a variable rate, based on wholesale costs. What this means is we provide you energy at a pass-through rate with no markup, so it's a tariff that’ll provide great value to all our members, for the the long term.
What made you believe it was a fixed rate?


Good Bye
I’m a little confused. If we pay what you pay as a provider, how come 4-5 providers are now cheaper that pure planet and they have no members rate and some are still renewable....

Tbh it’s such a large increase im looking at switching potentially
Hi Marc, I've received the weirdly inconsistent price rise email. It's says my spend will rise by £99 but in fact my annual bill will go up by £180, a 13% rise. Where on the app or bill do I find out exactly how much gas and electricity you're predicting I'll use to reach the new figure? Thanks
Thanks for the explanation Marc. I'll be interested to see if my predicted usage has grown in my March statement as PP are clearly predicting higher annual use then present in my Feb statement. A 13% rise less than 3 months into my use of your services is not good as you have not allowed a longer use pattern to build plus last statement says I'm over £100 in credit! PP could be my shortest switch yet.
Hi @Riz
Thanks for posting.
Wholesale rates are up significantly  over the past year. They’ve gone up by 10% against January 2017 rates, and around 20% from their low point last summer.
We can't give forecasts of when prices will go up or down.
Today’s wholesale energy prices reflect all the available information on demand, supply, and all the other variables which affect the price.
You may like to read our blog post on historical wholesale rates, it gives some helpful insight on market pricing.
We’d love to give certainty around prices, but because there are so many unpredictable variables to wholesale energy pricing, we can’t.
Hi @DG381 and @nattydc
Thanks for the replies. Really good questions. Putting specific account details aside, you're both asking (if I read this right) why it is that your annual cost will increase, but the monthly payments are going up by more than is needed to pay for this?

Original payments are based on the usage figures you'd provided when you received your quote.
After you switch, we're sent your usage history and your meter readings, and we're using this to base your new payment amounts on.
We want to ensure that members are paying the right amount for the energy they use, to avoid falling into debt.
We review members' Direct Debit payments every six months. Please give monthly meter readings because these help to keep your account as accurate as possible.

Hope that explains it a bit more?
Amageek78;4863:
I’m a little confused. If we pay what you pay as a provider, how come 4-5 providers are now cheaper that pure planet and they have no members rate and some are still renewable....

Tbh it’s such a large increase im looking at switching potentially


Hi @Amageek78
Nice username!
It is possible that other providers are using fixed rate tariffs.
Fixed tariffs don't prevent payments going up if you increase the amount of energy you use.
They're used to present attractive deals but then lock people in with exit fees, and they're aimed at new customers, not current ones.
We don’t agree with a system that provides ‘teaser’ rates for new customers at the expense of existing customers.
But of course they may be the right option for you. We won't charge you an exit fee if you choose to switch
m300raj;4869:
I thought when i signed up I was guaranteed the same rate for 18 month can you explain how I am now facing an increase i have only been with you for two months.
regards


Hi @m300raj
We offer one tariff for all our members. It’s a variable rate, based on wholesale costs.
What made you believe it was the same rate for 18 months?
Hi @nattydc and @DG381
No probs
To contact the team please head to Help in the app and type 'message the team' and they will respond when they can. It’s not a live-chat service but someone will get back to you.
Gabolino;4905:
I haven't received any email myself, has it been sent to all?


Hi @Gabolino
Cheers for posting. Yes, sent to all members. I will flag this with the team.
While I'm doing that could you quickly check your spam folder (or, if you're a Gmail user, your 'promotions' folder) - it may have gone in there?
Steve H;4901:
Hi Marc, I've received the weirdly inconsistent price rise email. It's says my spend will rise by £99 but in fact my annual bill will go up by £180, a 13% rise. Where on the app or bill do I find out exactly how much gas and electricity you're predicting I'll use to reach the new figure? Thanks


Hi @Steve H
Great question 👍
The 12 month spending projection is on every monthly statement. We have guide in our knowledge hub which shows how to read the statement.
Here's how the projection is done (this is a general explainer for all members, not specific to your account):

The estimated electricity usage (known as Estimated Annual Consumption, or EAC) and the estimated gas usage (known as Annual Quantity, or AQ) comes from historical energy usage held on a centralised industry database - from previous suppliers, and from previous usage.
Also, when a person switches to a new supplier they are asked to provide their own estimated energy use. This information, and the central database information, helps us to predict their annual estimate.
Once a member is on supply and sends us regular meter readings we can see their actual energy usage.
Every time a members sends us a reading we can better predict the current and future usage because the EAC and the AQ is updated - and this means a more accurate forecast.
This is why we ask for regular monthly meter readings.
If people do not send us regular meter readings, then their forecast is based on estimates, until their usage is reviewed.
At the time of review if we then see that a member's actual energy usage is higher than the estimated usage, we are obliged to help them avoid getting into debt.
For this reason we have reviewed some members Direct Debits as part of the rate change.

I hope that helps!
Hi @Joseph S
Each time you submit a meter reading in the app by going from Menu > My account > Send a meter reading you should see the last reading that was submitted.
When did you last submit a meter reading?
Joseph S;4927:
I've submitted meter reading three times now It updates but I still have estimated figures. The gas in particular says that I've not used anything. I've also sent photos of the meters as well.

Please can you sort this out. I'm really getting annoyed and keep wasting my time sending messages and meter readings


Thanks @Joseph S
Yes this will get sorted. I've flagged this up with team.
I'm going to send you a DM in a sec as there is some account info which I don't want to put in a public forum.
Gabolino;4917:
Got it. It's in promotions ! Any idea how I can fix this?

I think my quote (given last year) is higher than my actual usage so I'm hoping overall there's no change


Good news @Gabolino 😀
According to the internet (😏) you should click the settings icon in the top right corner of the Gmail tab, select 'configure inbox'. Then deselect the 'promotions' tab and click save.
That sound okay to you? (I think that may turn of 'promotions' completely)
MichaelOfHighwray;4953:
I quite understand the necessity of raising rates and have no problem with that. I am not sure though that I understand the mathematics of your email. Your email says the annual cost has gone up by £99, but my payments are going up by £207.24. How come it's doubled up plus a bit?
Thanks
Michael


Hi @MichaelOfHighwray
Thanks for posting in the community! I've moved your post to this existing thread about the rate change - as it can get confusing to have too many duplicate threads and replies, much harder to follow.

The difference in Direct Debits for some members (though not all) is because we have more usage info.
Members' original payments are based on usage figures provided to us when the quote is sent out. After the switch, we get usage history, and any readings sent to us, to get a more accurate forecast of energy use.

If we're proposing to increase a member's Direct Debit payments, it's because we want to make sure that they are paying the right amount for the energy they use. We don't want members falling into debt.

But if you think it's too high, get in touch and we can adjust them.

To get in touch with our services team head to Help in the app and type 'message the team' and they will respond when they can. It’s not a live-chat service but someone will get back to you.
Onfire;4949:
When I signed up to Pure Planet I were signing up to a fixed rate so why are you changing the rules ?


Hi @Onfire
Cheers for your post.
We've never had a fixed rate. We offer one tariff for all our members. It’s a variable rate, based on wholesale costs. What this means is we provide you energy at a pass-through rate with no markup, so it's a tariff that’ll provide great value to all our members, for the the long term.
What made you believe it was a fixed rate?
That's great to hear @MichaelOfHighwray
Glad it helped! 😁
Hi @Highbury
Thanks for posting in the community
Those different regional rates you see in the chart are the cost of transport electricity and gas to your home.
Typically, it works out less in densely populated areas, more expensive in regions of low population.
Each regional cost is determined and applied by your Distribution Network Operator and we pass this on at cost. We don't make any money on the transport costs of getting energy to your home.

Hope that explains it?! Happy to keep chatting, of course


Hi @WoldsWhite
Ours is a variable rate tariff. That means rates can move up and down at any time, but we aim to keep price changes to a minimum.
We monitor wholesale rates regularly and will always give you at least 14 days’ notice of any increase and we’ll pass on any rate decrease immediately.

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