Customer Billing Information - Why Your Energy Bills Continue to Rise?
Even though the energy consumption has been declining, energy bills have been rising. Steadily! Huge falls of the prices in 2015 stopped this trend and after a long time, the largest providers didn’t increase their prices. Even more, some have decided to slightly cut their customers’ bills. But only after being pressured by the public. Also, the cuts were symbolic in comparison to the falls in wholesale prices. Energy suppliers may further cut the bills due to the increased pressure, however, the recent downward pricing trends are believed to be only a temporary “anomaly”. In the long term, our energy bills will continue to rise.
What Causes the Non-Stop Rise of Energy Prices?
The improvements in energy efficiency and more responsible use have dramatically reduced the consumption of energy in the UK. In 2015, we used about the same amount of energy as in 1970 even though the population has grown for more than 6 million. But despite that, the overall energy cost has increased. The demand plays a huge role in pricing, however, it isn’t just the domestic consumers who influence the energy prices. These are also influenced greatly by the industry across all sectors as well as things such as energy delivery, production, sources, taxes, etc. In the end, there is the international factor which has been shown to be highly unpredictable. While emphasising that it is impossible foretell the future pricing trends, most experts and analysts agree that we can expect a continued rise of our energy bills in the long term.
Customers Not as Helpless as They May Think
At a first glance, it seems that there isn’t much customers can do about the rising energy bills. However, they are not as helpless as they may think. On the contrary, there are many ways to cut the cost of energy. Here are the top 3 measures you can take today:
Shop around. Compare the prices between different energy suppliers. If others are offering a better deal than you current supplier, you should seriously consider switching to a new energy provider.
Opt for fixed rate tariff. Though it remains unclear whether it is better to choose variable or fixed rate tariff, the latter at least gives you the peace of mind that you’re protected from eventual price spikes for the duration of the fixed period.
Invest in energy efficiency. Or better yet, domestic energy production. But in either way, you can count on significant savings, especially if energy prices will continue to rise as expected by the majority of projections.