TimeToShine wrote: » The electricity market has been deregulated to incentivize competition which means more options for tax payers. If supply side electricity was sold to everyone at the same price these companies would have a monopoly over the generation side and generators would be shafted on their wholesale electricity prices.
Ubbquittious wrote: » If the generators didn't like the price they wouldnt bother producing, possibly causing the price to rise. That shouldn't cause a problem if there are loads of different companies supplying. The whole consumer side switching provider thing seems like an awful waste of time
Deleted User wrote: » True, but the companies make a fortune out of getting you to switch, just look at the little industry that has been created out of nothing just so the consumer has a "choice". It's like going into a pub and the bar has five levers with different labels and prices, but they all go back to the same barrel. In reality if the "switching business" wasn't there, the cost to the end users should in theory be cheaper as an entire level of overhead is removed.
martingriff wrote: » This "switching business" as you call it is why prices are low. What incentive would a company have of giving you the lowest price if a) it was the only 1 in town or b) you could not switch. This does not just happen with electricity/gas. You have insurance, petrol/diesel, oil. Hell even basic shopping for your groceries has a "switching business". The look what you can save from shopping with us as
[Deleted User] wrote: » Do you really believe that they compete to keep the prices down, it's only those who constantly switch who get the least highest price. They still have to pay for the additional costs involved in operating these companies. That extra layer isn't provided for free.
Deleted User wrote: » Do you really believe that they compete to keep the prices down, it's only those who constantly switch who get the least highest price. They still have to pay for the additional costs involved in operating these companies. That extra layer isn't provided for free.
martingriff wrote: » I know that but you can say about anyone who is looking for your business but you still haven't shown how having only 1 company will give you the low price what incentive do they have
martingriff wrote: » Talk to people when ESB and the telephone was state owned and asked would they like to go back. I suspect the answer would be no.
[Deleted User] wrote: » It's like going into a pub and the bar has five levers with different labels and prices, but they all go back to the same barrel.
rizzodun wrote: » I would've thought it would be like 5 different barrels all going through the same line to same lever... No?
Ubbquittious wrote: » Would d'EU give out to us if we tried to get rid of the switching business?
martingriff wrote: » Yep competition rules. In fairness every industry has a switching business. We see and hear it everyday in ads. Supermarkets telling you how much you can save a shop, loans and mortgages with low low rates, car dealerships with finance deals etc and of course fuel at the pumps. Its not like electricity gas and oil are any different.
Ubbquittious wrote: » You are really getting it from the same place so in this case it's only pretend. A lot of the fixed line broadband switching business is only pretend as well. Switch from Sky to the almighty Vode and you're doing feck all really
martingriff wrote: » Not broadband I have had a few broadband providers from dongles to Virgin and I can say they are not the same. Also you paying for the service provider and they also can be very different
SafeSurfer wrote: » It’s not just taxpayers who pay for electricity.
Ubbquittious wrote: » We now find ourselves in the rather strange situation where at any one time there are the best part of a dozen companies running around the place vying to get their hands on that silly little number on your electricity bill. In order for them to send you a different colour bill for the same electricity that you have always been getting from the same place. Who came up with this nonsense? Surely the end result is just the granny who is with the ESB since rural electrification began cross subsidising the stingy person who can be bothered to switch provider every year since they all only do introductory offers. I can see why they would want to allow companies to supply power to the grid but why bother with the consumer side "switching" malarky at all and not charge everyone the same rate?