• Daily charging and carbon offsets.

    I love your concept, but have a couple of questions;

    Others charge a daily rate, usually about 18p per fuel.
    You charge £240 per year, less £30 for dual fuel - £210.
    Divided by 365 comes to about 28p per fuel per day. That's higher than most, if not all.
    So you would expect your kWh figures to be less than others to make up for this (they make a profit, after all), but this doesn't seem to pan out when looking at comparison sites. Maybe you can't get the same wholesale prices as others?

    Also, regarding the gas carbon offsetting, would it not be cheaper to buy these directly by the customer from someone like ClimateCare?

    I suppose I'm looking for total transparency, which you can surely achieve with your model?
    Tap below to see the best answer
    0
  • I love your concept, but have a couple of questions;

    Others charge a daily rate, usually about 18p per fuel.
    You charge £240 per year, less £30 for dual fuel - £210.
    Divided by 365 comes to about 28p per fuel per day. That's higher than most, if not all.
    So you would expect your kWh figures to be less than others to make up for this (they make a profit, after all), but this doesn't seem to pan out when looking at comparison sites. Maybe you can't get the same wholesale prices as others?

    Also, regarding the gas carbon offsetting, would it not be cheaper to buy these directly by the customer from someone like ClimateCare?

    I suppose I'm looking for total transparency, which you can surely achieve with your model?
    Tap below to see the best answer


  • Best Answer

    Hi @Rookeryview,
    Thanks for waiting while I gathered some info! I hope it paints more of a picture of what we and how. There are hundreds of tariffs available across all providers in the market today and the standing daily charge varies significantly across providers and tariff, for example British Gas charges 26.01p a day per fuel on it’s standard tariff (and they don’t offer a dual fuel discount on that). We’ve chosen to make energy pricing easier for our members to understand by making the standing charge a monthly communicated amount (£10 including VAT) - and it’s the only place we earn any margin. Other companies typically make margin on the standing charge and the unit rate. In the case of the latter, the more energy you use, then the more money the company makes.


    To find out what’s right for you, it’s best to either get a quote on our website and compare it to your current energy deal. Or simply pop over to a price comparison site such as www.comparethemarket.com or www.energylinx.co.uk it takes about 60 seconds. Both quotes will show you our standing charge and the per kWh unit rate for each fuel in your area.


    Our per kWh is less than most others - some fixed term details may beat it. This can happen where energy companies price below market rate to win new customers, in the hope they stay with them in the longer term when the move over to the more profitable standard variable tariff.


    Our model doesn’t work like that. We have one tariff and one rate per fuel. All our new and existing members are on the same tariff. Typically, we’re top of the market for most medium energy and the majority of high energy users. All the more compelling given we only offer 100% renewable electricity and 100% carbon offset gas.
    For Carbon offsetting, we’ve chosen to do this via the government’s certified scheme. However, we many look at expanding our carbon offset proposition to consumers in the longer term. We find that in general, consumers’ attitude to energy is switch and forget. So we take care of everything for them to make ethical energy the simple choice.


    I hope this info helps! If you’d like any more help or have any other questions then do let me know. Happy to keep chatting about this.
    1
  • Hi @Rookeryview,
    Thanks for waiting while I gathered some info! I hope it paints more of a picture of what we and how. There are hundreds of tariffs available across all providers in the market today and the standing daily charge varies significantly across providers and tariff, for example British Gas charges 26.01p a day per fuel on it’s standard tariff (and they don’t offer a dual fuel discount on that). We’ve chosen to make energy pricing easier for our members to understand by making the standing charge a monthly communicated amount (£10 including VAT) - and it’s the only place we earn any margin. Other companies typically make margin on the standing charge and the unit rate. In the case of the latter, the more energy you use, then the more money the company makes.


    To find out what’s right for you, it’s best to either get a quote on our website and compare it to your current energy deal. Or simply pop over to a price comparison site such as www.comparethemarket.com or www.energylinx.co.uk it takes about 60 seconds. Both quotes will show you our standing charge and the per kWh unit rate for each fuel in your area.


    Our per kWh is less than most others - some fixed term details may beat it. This can happen where energy companies price below market rate to win new customers, in the hope they stay with them in the longer term when the move over to the more profitable standard variable tariff.


    Our model doesn’t work like that. We have one tariff and one rate per fuel. All our new and existing members are on the same tariff. Typically, we’re top of the market for most medium energy and the majority of high energy users. All the more compelling given we only offer 100% renewable electricity and 100% carbon offset gas.
    For Carbon offsetting, we’ve chosen to do this via the government’s certified scheme. However, we many look at expanding our carbon offset proposition to consumers in the longer term. We find that in general, consumers’ attitude to energy is switch and forget. So we take care of everything for them to make ethical energy the simple choice.


    I hope this info helps! If you’d like any more help or have any other questions then do let me know. Happy to keep chatting about this.


  • Hi @Rookeryview and welcome! Some great questions here. I'm gathering some info for you to make sure I provide you with as much as I can. I'll return with some info for you soon.
    0
  • Hi @Rookeryview and welcome! Some great questions here. I'm gathering some info for you to make sure I provide you with as much as I can. I'll return with some info for you soon.


  • Hi Toby

    I have a couple of questions on this topic too. Do you have any more information available on the Certified Emissions Reductions that you buy? I understand there are concerns about the range of projects they may be used for - i.e. they may not add additionally (i.e. are projects that would have gone ahead with or without the support of a CER), or projects where the carbon offset is not permanent/guaranteed e.g forestry. Do you use any recognised standards (e.g. Gold standard) when buying your CERs?

    Secondly regarding the 100% green electricity - do you invest in new 'green energy' production? If not I'm unclear how buying from you cuts my carbon foot print. If 20%(ish) of power on the UK grid is renewable, then me buying only the green energy leave everyone else buying slight less green energy - I'm decreasing my foot print by increasing someone else's! Although in theory I'd be in increasing the demand for more green energy, the supply is already far ahead of demand so would seem unlikely to be impacted.

    Apologies if the above questions seem a bit negative, I like the sound of the company with the app, commitment to living wage and attempt to reduce carbon emissions, but I want to know to what extent buying energy from you will actually reduce my emission rather than just make me superficially feel better about them!

    Thanks
    Ben
    1
  • Hi Toby

    I have a couple of questions on this topic too. Do you have any more information available on the Certified Emissions Reductions that you buy? I understand there are concerns about the range of projects they may be used for - i.e. they may not add additionally (i.e. are projects that would have gone ahead with or without the support of a CER), or projects where the carbon offset is not permanent/guaranteed e.g forestry. Do you use any recognised standards (e.g. Gold standard) when buying your CERs?

    Secondly regarding the 100% green electricity - do you invest in new 'green energy' production? If not I'm unclear how buying from you cuts my carbon foot print. If 20%(ish) of power on the UK grid is renewable, then me buying only the green energy leave everyone else buying slight less green energy - I'm decreasing my foot print by increasing someone else's! Although in theory I'd be in increasing the demand for more green energy, the supply is already far ahead of demand so would seem unlikely to be impacted.

    Apologies if the above questions seem a bit negative, I like the sound of the company with the app, commitment to living wage and attempt to reduce carbon emissions, but I want to know to what extent buying energy from you will actually reduce my emission rather than just make me superficially feel better about them!

    Thanks
    Ben


  • Hi @Ben and welcome! No need to apologise! The community is here for questions

    Does the below info help from our home page regarding our energy supply? It includes a link to info on CERs. Let me know if you'd like any other info however and I'll see what I can gather for you. I'll also ask the wider team about any such green energy production investment plans:

    Our electricity
    The Renewable Energy Guarantees of Origin (REGO) scheme provides transparency to consumers about the proportion of electricity that suppliers source from renewable generation. One REGO certificate is issued per megawatt hour (MWh) of eligible renewable output. All our electricity has REGO certification, so you can be confident that all the power we purchase on your behalf is renewably sourced.
    Wind, sun and water are all low carbon ways of producing energy. We never source from shale or fracking. And no nuclear. We want a planet for the next generation too.

    Our carbon-offset natural gas
    Carbon is an essential element of our planet. However, when fuel such as gas is burned it creates carbon dioxide (CO2) that harms the atmosphere and contributes to global warming.
    While we work towards a renewable-only electric future, we offset the carbon generated when you use gas by buying Certified Emissions Reductions (CERs) on your behalf.
    CERs Certified Emission Reductions are UN Clean Development Mechanism certified. They commit to reducing overall emissions and increase sustainability. You can read more about them here.
    The typical household using gas generates nearly four tonnes of CO2 each year. That's almost enough to fill a hot air balloon. So let’s make it better. Go carbon offset. Choose Pure Planet for completely carbon offset gas. It's energy which is better for you and the world.
    0
  • Hi @Ben and welcome! No need to apologise! The community is here for questions

    Does the below info help from our home page regarding our energy supply? It includes a link to info on CERs. Let me know if you'd like any other info however and I'll see what I can gather for you. I'll also ask the wider team about any such green energy production investment plans:

    Our electricity
    The Renewable Energy Guarantees of Origin (REGO) scheme provides transparency to consumers about the proportion of electricity that suppliers source from renewable generation. One REGO certificate is issued per megawatt hour (MWh) of eligible renewable output. All our electricity has REGO certification, so you can be confident that all the power we purchase on your behalf is renewably sourced.
    Wind, sun and water are all low carbon ways of producing energy. We never source from shale or fracking. And no nuclear. We want a planet for the next generation too.

    Our carbon-offset natural gas
    Carbon is an essential element of our planet. However, when fuel such as gas is burned it creates carbon dioxide (CO2) that harms the atmosphere and contributes to global warming.
    While we work towards a renewable-only electric future, we offset the carbon generated when you use gas by buying Certified Emissions Reductions (CERs) on your behalf.
    CERs Certified Emission Reductions are UN Clean Development Mechanism certified. They commit to reducing overall emissions and increase sustainability. You can read more about them here.
    The typical household using gas generates nearly four tonnes of CO2 each year. That's almost enough to fill a hot air balloon. So let’s make it better. Go carbon offset. Choose Pure Planet for completely carbon offset gas. It's energy which is better for you and the world.


  • Hi @Ben,
    I've been talking to the wider team and one of our founders Steven has offered a few more thoughts on driving green energy production through what we do...

    "The more people who choose to procure their energy from green power, the more green power is built. Demand drives supply. We are a retailer, not a generator - there are already many competing and specialist developers of green energy seeking to build more. Therefore, our decision as a business is to focus on retailing, and encouraging demand, which in turns helps developers."

    Hope this helps! Some great questions from you Ben and please do ask any others you have.
    2
  • Hi @Ben,
    I've been talking to the wider team and one of our founders Steven has offered a few more thoughts on driving green energy production through what we do...

    "The more people who choose to procure their energy from green power, the more green power is built. Demand drives supply. We are a retailer, not a generator - there are already many competing and specialist developers of green energy seeking to build more. Therefore, our decision as a business is to focus on retailing, and encouraging demand, which in turns helps developers."

    Hope this helps! Some great questions from you Ben and please do ask any others you have.