Gas prices

[igenlode]

I've just received a letter telling me that my estimated annual gas bill is about £200, but that I've already used £388 worth of gas in the last six months and only paid £90 in direct debits (knocking my accumulated surplus down into the ground) — and that to my astonishment my direct debit payments are being reduced in consequence. Given that my annual bill looks set to be about three times their estimate (assuming that we've had two-thirds of the winter and that I only use another £200 worth in the next six months of the year as versus £400 in the last six months), I can only hope that they have some vague idea of what they're doing, because I don't...

I presume the reason why actual cost massively exceeds estimated usage is that gas prices have gone up massively since the estimate was made, given that my actual gas usage is way down on the same period the previous year (800kWh as versus 2240kWh)!

My latest electricity bills were also dramatically increased, from an average of around £30/month to an average of around £50. Presumably this is the energy price impact being predicted on the news.

Comments

[watervole]

I think I'd be setting aside a good reserve for future gas bills. I think their estimate software may be running off cash paid rather than kwh used - which would be very stupid, but is the only reason I can think of.

[igenlode]

Yes, I'm planning to budget £40 a month for gas in the coming year, to provide a reserve to draw on for the inevitable direct debit correction when it comes.