EDF Energy price rise will encourage energy efficiency

Yesterday EDF Energy turned up the heat on its customers, after becoming the last of the big six to announce a price hike.

The increase, which comes into effect just one day after their price freeze ends, will affect 3.3 million customers and will add £72 to the average household bill. However, the new pricing structure means that customers will be rewarded for being more energy efficient, and will benefit from simpler, easier and clearer billing.

Ann Robinson, Director of Consumer Policy at uSwitch.com, says: "Although price rises are never good news for consumers, this blow has been softened by the fact that EDF customers will now be encouraged to use less energy. Cold weather and high bills are a tough combination for consumers, but being more energy efficient is one way to tackle these challenges. In fact, over a quarter of us (27%) are now more likely to adopt energy efficiency measures.

"Currently customers are charged under a two-tier system, with units on the lower tier being more expensive than those in the higher tier. Under the new system, which will see the introduction of a standing charge and just one tier of pricing, those who now use less energy will be less affected by the price rises than those who are medium users. Low users will only see their bills rise by 3.5%, compared to medium users whose bills will rise by 6.9%. The new bills are simpler, clearer and easier, with just one price for energy. This move towards greater transparency should be recognised and applauded."