Domestic Energy Prices

RNS Number : 8920M

Scottish & Southern Energy PLC

06 February 2009

 



DOMESTIC ENERGY PRICES FROM 30 MARCH 2009

Scottish and Southern Energy plc ('SSE') will reduce its prices for domestic electricity and gas customers on 30 March 2009. Average prices for electricity customers will fall by 9% and for gas customers they will fall by 4%.  

The falls in wholesale energy prices which started between July and October 2008 have been maintained and mean SSE, which supplies energy as Southern Electric, SWALEC, Scottish Hydro Electric and Atlantic, is able to deliver its first cut in domestic energy prices since March 2007. It was the last of the major suppliers to introduce a price increase in the early part of 2008.

Although they have fallen recently, forward annual wholesale prices for electricity and gas remain at relatively high levels, being 46% and 51% respectively higher in January 2009, compared with January 2007*.

Following the price changes, SSE's 'dual fuel' customers will typically pay £1,193** per annum for their energy, a reduction of £66. This is 10% less than that currently paid by customers of British Gas and 4% less than customers of British Gas will pay from the second half of February.

Alistair Phillips-Davies, Energy Supply Director of SSE, said:

' We know our customers want to understand what their energy is likely to cost in the future and that's what lies behind today's announcement.The UK now relies on energy imports and wholesale prices for electricity and gas are still at historically high levels. Against this background, companies need to be successful in fuel procurement, product development and customer service to deliver the best possible value for customers, and that's what we work to deliver.'

* Source ICIS Heren

**Based on the average 'dual fuel' standard tariff bill paying by quarterly averaged across the UK and based on average domestic consumptions (3,300 kWh electricity per annum and 20,500 kWh gas per annum). Excludes 'prompt pay' discount of 2.5%. Includes VAT at 5%. On this basis, SSE's 'dual fuel' domestic customers will pay £1,193 per annum from 30 March 2009; the equivalent for customers of British Gas from 19 February 2009 is £1,245.  

Contacts:

Justyn Smith                           SSE Head of Corporate Communications            0845 0760 530

Sharron Miller-McKenzie           SSE Press Office Manager                                0845 0760 530

 

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