Electricity supplier

[Zumiweb]

Got the keys to our small lock-up shop a few days ago and getting calls to both my phone and my partners phone from Commercial Utilities quoting rates and wanting us to choose electricity supplier ('quick before we're fixed on default rate'). 18.70p daily rate and 13.42 per kw/h best quoted (we're only there for 6 months, so the 5 year fix is not relevant!), plus a free smart meter. Are we walking in to some unknown trap, or are these legit? They make themselves sound very official - "we have been notified of your new tenancy" etc, but we have to get a supplier from somewhere so if there's a disaster looming, please say!

Thanks
mark.

 

[mhall]

You will get loads of these calls from loads of people. Insist that everything is put in writing - never say yes over the phone. The 5 year fix is relevant if they expect you to sign up for 5 years- there will be a hidden charge for the 4.5 years you are not there. These people call themselves all sorts of different names - we have just taken over another shop and got a call from "New Tenant Registrations" - the following day they were the "Meter Registration Authority" and the day after that they were the "Tenant Transfer Office"

As I said, get everything in writing, compare and then make your decision.

 

[NickGrogan]

There is a well known company, part of the BES group who trade as Commercial Utilities. Avoid at all costs. The rates quoted are not good, they tend to target new business using data from the likes of Thomson Local. There is no "Meter Registration Authority", "Tenant Transfer Office", etc, etc. They just bought your data.

5 year rates are more expensive than 1 or 2 year contracts at the moment, so no real reason to consider a longer contract, especially if you are on a short lease.

Happy to provide written quotes or advice, PM or call me.

 

[Zumiweb]

My call was from Commercial Utilities, and they said BES was the cheapest rate... hmmm... Thanks Nick. PM on its way...

 

[The Wholesaler]

Sounds like a bit of a heavy sales tactic but if they are a broker they should be able to find a supplier more suited to your short term need than going direct top a supplier.

 

[Zumiweb]

True enough... and thanks MHall above too, yes we are new to the shop thing, but getting it in writing was definitely top of our requirements - in one way it worked to our advantage that they called both our two phone numbers - we can't possibly decide until we've discussed it with each other, can we? And I definitely want the 'no exit penalty' in writing, it sounded far too easy.

And as I type this, the phone just rang now, another Commercial Utilities rep, saying "no-one bothered to answer" when he called this morning (that's three calls on one target) - I guess that company is off my list then. I know being a sales rep is hard work, but really, does offensiveness win sales for these people?

 

[kelvin1950]

FGS IGNORE THEM. You'll get loads of these, their only real use is that they are used to people being abusive to them so you can really vent your spleen!

They'll tell you that they're from the meter registration department, when you ask whose meter registration department they get confused. Then they'll tell you you MUST give them your meter number and reading, when you tell them that you don't have to do any such thing and that they are telling lies they get very hurt!

Guess it keeps them off the street corners. Our record is 30 of these calls in one day.

 

[AnneLou]

I make a point of never accepting cold calls from utility companies or brokers. They never give me the best deal.

I don't know what business you are in, but if you will be consuming a lot of power (gas or electric) you should make it a priority to sort out your supplier quite quickly now you have the keys to your premises. What will of happened is that all previous contracts will of ended with the previous owner/tenant. The last supplier of electric or gas to the property will probably continue to supply you but they will switch you to "out of contract rates" known as "deemed" rates. They are usually very high as you would be expected to negotiate a new contract.

Best thing is to sit down with the Internet and look up the phone numbers of power firms - big and small. There are lots of brokers around who can do the job for you but I have never found that they can get better prices than myself and I like to keep control!
I call about 5 or 6 firms and ask for a quote. For a business consumer my size (we spend about £1k per month on electricity per site!), the savings can be quite large with shopping around. I used to sign contacts for 3 years at a time, but in the last few years I have only been agreeing to one year contracts as the prices have been fluctuating so much.
Good luck.

 

[mhall]

We have been open in our new shop for 8 days, On Day 2 the calls started coming, stopped for the weekend and started again Monday. The first call is 8.30 am and the latest one, so far, has been 8.15 at night. We have to answer them as we need the line for the credit card machine. No matter how rude we are they call back within half an hour.

Interestingly, on Day 2 we got a call from "on line Directory" asking for details of the shop for their free directory. We gave a false contact name (Brian) and every electricity call since has asked for Brian, so not only are they pains in the rear end, they are also trying to get information by deceit.

Find a broker you can trust, (or do it yourself if you have the time) get everything in writing and NEVER deal with any of the over the phone.

 

[Zumiweb]

Thanks for the advice above, now sorted, thanks to Nick Grogan (see above). Sensible advice, way cheaper than the prices quoted by the pushy ones, 12 month contract, altogether a better experience. Thanks for taking the time, Nick!

I tried to get the 8th Commercial Utilities caller to accept he was an energy broker, but he just kept repeating "we work with all the suppliers", "but you are a broker, aren't you? " we work with all the suppliers..." (repeat three times until bored, then disconnect). It's just their sales psychology I find baffling, although presumably it works often enough to keep them in business. Glad that's over (I know, we may get more calls, but at least we can say we're signed up).

 

[kelvin1950]

Next thing is they apply to your supplier for a contract change!

 

[Christiane]

hear hear!! BES called me a few days after moving in too, when I hadn't even contacted EDF yet about the electricity! She really confused me, she had the meter number, which I thought was odd, unfortunately she has my name now but not the company name. They sent me a letter and their rates are ridiculous! Between £1.50 and £2.70 charge A DAY when Utility Warehouse was £5.41 for a whole month!

 

[mhall]

They sent me a letter and their rates are ridiculous! Between £1.50 and £2.70 charge A DAY !

Blimey - and I begrudge paying my 25p a day !

 

[itchgallery]

Beware! I got signed up by them and they are NOT the cheapest despite what they say. Unfortunately, I let myself get bullied into a contract with them despite not even being a leaseholder at that time (I was moving premises and they contacted me at the old premises to sign me up for the new premises. This was back in July and lease date is actually 1st Sept). Even though I repeated that I didn't yet have a lease, they signed me up and now I'm stuck with them. NPower say this is binding even though I've sent them a copy of my lease proving I didn't move in until 1st Sept. Anyone have any ideas if this is even legal for me to have been signed up when I had no authority at the property? They have sent me my first bill for over £1000 worth of electricity!!

 

[NickGrogan]

Who did you sign up with? BES or Npower? It's unclear from your post. Did you sign a contract or was it a verbal agreement?

You can agree a contract before you takeover a property, to start when you move in - it avoids any out of contract periods.

PM or email me your details if you like - [email protected]

 

[itchgallery]

Who did you sign up with? BES or Npower? It's unclear from your post. Did you sign a contract or was it a verbal agreement?

You can agree a contract before you takeover a property, to start when you move in - it avoids any out of contract periods.

Hi Nick, I agreed a contract over the phone with Commercial Energy for me to be supplied by NPower. I didn't realise until I tried to cancel it the next day that there was no cooling off period. Even though I told them repeatedly (at least 8 times) during the conversation I had no lease and wouldn't want anything to start until 1st Sept, they started it from 2nd July when we had the phone conversation. NPower said I couldn't legally be held to it as I had no authority to change supplier for the property until I was the leaseholder and said that it would be rejected when they applied for it as I was not the leaseholder. However this didn't happen. I complained and they asked for proof of my lease start date, which I sent them. Now they're saying that I can be held to it regardless (wondering why they needed to see my lease if that's the case?)

 

[NickGrogan]

Something strange going on there. Although there is no cooling off period on commercial agreements, energy contracts take time to start (this allows for objection from the current supplier, etc), so the contract shouldn't have started from the date you agreed.

Secondly if Npower believed it would be rejected, why would they process the contract. They are under no obligation to supply you, even if you sign a contract.

Thirdly they shouldn't bill you until you actually move in.

Did you speak to Npower directly or via Commercial Energy.

Do you have any bills from npower, can you fax or email them to me, and I'll try and see what's happened.

fax is 0118 3 363749

 

[mhall]

Just had our first gas bill for our new shop. I understand the "you are on high rates because you are not on contract" lark but it just amazes me how anyone would want to stay with any supplier who does this. The very fact that you are ripping me off now means that there is no way I will go with you in the future- even if you are the cheapest. The whole industry smacks of this arrogance. The sensible thing would be to say "your new, look at the great deal we are giving you, there is no point in you wasting time swapping"

 

[NickGrogan]

Energy companies do work in some strange ways. I think a lot of it is still the legacy of being "civil service", the other problem is the may mergers/acquisitions have been handled over the years. There is some parts of suppliers who don't talk to each other at all - despite supplying the same customer.

 

[The Byre]

Interestingly, on Day 2 we got a call from "on line Directory" asking for details of the shop for their free directory. We gave a false contact name (Brian) and every electricity call since has asked for Brian, so not only are they pains in the rear end, they are also trying to get information by deceit.

We keep getting calls for a Mr. Greemy. How this came about, no one knows, but now we tell any of these nitwit callers that they have to talk to the illustrious Mr. Greemy. Mr Greemy deals with everything from the books to the telephones, from the power to the water supply, including of course sewage.

Ever since Mr. Greemy took over all SEO responsibilities, he has been getting even more calls, the only problem is, he is never available and never seems to call them back.

 

[Christiane]

I first got a call from BES, then a letter and today an invoice!! They are charging me for electricity and I'm not even a customer! I signed with EDF so I'll just leave BES be, they can't do anything but they are using very under hand tactics. My bill with EDF is estimated at half that of BES. Oh and negotiating with EDF went from higher prices than I had at my previous premises and a fixed contract to similar prices as before and no contract as in ''I can leave when I want''. These things can only be learnt over the years of running a business. I was a lot more naive and gullible in a way when I started years ago.
I told EDF I got an invoice from BES and the guy was astonished. BES is just trying to steal one of their new customers!

 

[NickGrogan]

I presume you are on the Freedom for Business tariff.

It gives flexibility to leave at any time, which can be good, but prices are variable so this is something to keep an eye on. Similar to the Utility Warehouse offering.

Generally EDF are not the cheapest in the SME market, but they do come up with interesting offers like this sometimes.