Most homeowners pay excessive tariffs on energy consumption. With the daily use of gas and electricity, there is a need to get a better energy deal to save cost. However, many households don’t know how to go about this. They feel that the process is complicated; hence, sticking to their current supplier. It is not difficult to switch energy providers – it’s as simple as changing your shirt. How do you know when to change your supplier? If you have been using a particular energy company for too long, then there is a possibility that you are missing out on better energy deals. Who are the big six companies? These are UK-based companies that distribute energy – electricity and gas – to consumers (households) in exchange for money (tariffs).
Why Should I Consider A Smaller Energy Provider?
It is understandable to believe that the Big Six energy companies provide the best deal as a result of their size and existence. However, smaller energy companies have increased the competition in the energy market. With them come better tariffs that even rival those of the Big Six providers: EDF Energy, SSE, British Gas, E.ON UK, Npower. Though a lot of people are concerned about being left high and dry should their small energy supplier run out of business. However, this doesn’t call for concern, as it has already been taken care of by Ofgem – Office of Gas and Electricity Markets – a regulatory body in charge of the energy market in the UK. Measures have been placed to combat such situations. This implies that you will still have access to electricity and gas should anything go wrong.
Reasons To Choose A Smaller Energy Supplier:
The question that has been plaguing homeowners for many years is about the advantages of smaller energy suppliers. Sometimes, smaller companies unable to compete against larger ones because they cannot afford to expand the size of their operation. So, what do these energy suppliers offer to families that are looking to reduce their monthly outgoings?
Here are some reasons to choose a smaller energy provider:
- Reduced operating costs: Many small companies have operating costs that are far lower than that of larger companies. However, competition drives these small businesses to reduce their costs and also improve efficiency. One such example is that some smaller companies offer electricity as a service, where you pay only for the electricity that you consume. This helps you avoid paying for your own electricity. Additionally, some smaller companies offer cheaper rates than their larger competitors.
- Increased competition leads to lower prices: The price reduction is partly due to the fact that several smaller companies had decided to enter into the energy supplier market in an effort to provide lower energy tariffs to consumers. With the presence of companies, like Gexa Energy, competition is increased, and bigger energy companies work hard to keep their prices down.
- Customer support: Smaller utility companies may be able to provide better customer service than bigger energy suppliers. Since they have fewer customers compared to larger companies, they will be able to handle consumer complaints faster than mainstream suppliers.
- Quality service: Utilizing small home electricity suppliers may help reduce the risk of power shortages and blackouts because of its smaller customer base.
These are only some of the advantages of smaller energy suppliers. Even though the market is currently dominated by larger companies, new and smaller companies can provide a level of quality service that the bigger companies cannot. Furthermore, the financial benefits for consumers translate to monthly savings on energy tariffs.
What Supplier Provides The Cheapest Energy Tariff?
This is not a straightforward question as there are several factors that determine the answer, which include your energy consumption rate and area of residence. Hence, you need an online energy consultant that will help you compare energy tariffs. With this consultant, you can view a list of energy suppliers with their tariffs and select the one most ideal for your needs.
Is The Process Complicated?
As stated earlier, you don’t need more than 15 minutes to complete the process – depending on your search. Here is how it works. Contact an online energy provider. You will be required to provide details of your postcode, present supplier, current tariff, and energy consumption rate (gas or/and electricity). Once you supply them with these details, a list of all the energy suppliers within your area will be provided, along with their individual tariffs. Compare suppliers with your needs to find out which one suits you best. Having found one, you will have to wait for 21 days for the supplier switch to be completed. During this period, your new energy provider will be in charge. Hence, you have nothing to worry about. This new company will contact your present energy provider to complete the handover process. Also, note that you will be given a cool down period of 14 days to change your mind should you decide not to proceed with the switch.
“What will happen to my energy supply during this period?” you may ask. This has partly been discussed above. Your access to electricity and gas will not be disrupted during this period. Additionally, there will not be a drop in the quality of service you receive. The only change you will notice is the name of the new energy provider.