Npower massive price rise causes Government concern
The news that Npower is raising electricity prices from March by a huge 15% and gas prices by 4.8%, has not gone down well with the 1.4 million customers affected by it, or the energy watchdog Ofgem.
The reasons behind it were given as the sharp rise in the cost of energy and the admin necessary to put into practice recent Government policies.
Ofgem, the Government energy regulator, was not impressed at all and can see no significant reason why prices should rise, with energy costs having risen over one year but having dropped the previous two. There is a very well developed energy futures market and companies can cover themselves a long way forward when energy prices are low and keep prices low for their customers.
There is a feeling that when prices are dropping they are not fully passed on to the consumer and when they rise the increases are passed on very quickly.
Post Date: February 3rd, 2017