One of the best ways you can save on your electricity bills is to switch supplier. Since your reading this you are probably thinking of switching anyway but we will give you the run down on all the insider tips …
Nowadays you need an advanced degree in mathematics, just to figure out which suppliers deal is best for you. With varying tariffs, contract lengths, terms and conditions, it can be hard to figure out which deal is best for you.
The first thing you must take into consideration is the standing charge this is the set charge you have to pay no matter how much electricity you use. Usually this will be the same for all the suppliers that you can pick from so you can not forget about this.
The figure you are most interested in is the unit rate or the tariff. This is the amount it cost you to use 1Kw / H of electricity. So you are on the lookout for the supplier that will give you the cheapest unit rate. But here is where it starts to get interesting …
You have to look into what special deals the suppliers offer if you sign up to certain condition, like a fixed contract length, direct debit payments or your bills being emailed to you. All of these things will inevitably save the supplier money so they can pass some of the savings onto you through the unit rate they offer. All of these things are great if you just want the cheapest rates immediately but if you want to keep your freedom to switch at a later date then you can be hit with some heavy penalties if you decide to switch supplier again before the contract term is up .
Some suppliers also do deals if you bundle your gas and electricity together you can get a better combined rate than if you got them both individually from different suppliers.
Another exciting development in the electricity industry is the emergence of group buying of electricity. There have been some major movements in some countries to try and organize consumers so that they can use the collective buying power to negotiate a better deal for all the members of the group. So you should on the lookout for any of these groups in your country, and if there you could always group together with some of you friends and neighbors to organize a group in your area.
So that's a basic run down on some of the things you should be looking out for when your thinking about switching electricity provider.