Tempted by buying at wholesale prices from companies such as Flick Electric and others?
Whilst their websites make it all sound very easy and glamorous, with “no-risk ways” to save money, there’s a catch…. to review this month’s ACTUAL power prices that you would have paid by buying at spot rates,take a look at the graph.
Since 1st August, the early morning and evening peak times have suffered from extended periods (several hours at a time) of high spot prices, largely caused by high demand coupled with little or no reserves offered by the big generators.
So instead of a typical spot price of 8 cents per unit (Stoke GXP), the price has averaged up to 40 cents and peaked at 93 cents per unit – that’s almost a dollar per unit of power.
If you typically use 6-10 units of power after 5pm (which most homes do), then isntead of paying a spot price of 80 cents for the peiod, you would have paid up to $4 for the same period…. and so if these extended prices continue (which seems to be likely), then this could add an extra $100-$120 to your bill for the month.
Spot purchasing over extended periods (years) CAN offer a saving – but this is the risk that NextGen Energy takes on your behalf.