Billing and Payments
Billing and Payments
My Energy Bill Explained
We know that understanding your bill should be the last thing you should have to worry about. This is why we have put together a simple step by step guide to help make reading your bill as straightforward as possible. Click here to view our Energy Bill Explained guide.
If you are on a fixed Direct Debit, you can choose a date for your payment to be taken. The payment will be taken on the same date each month. If you are on a variable Direct Debit, the payment will be taken 14 days after your bill has been issued.
The Climate Change Levy (CCL) is a UK government tax imposed on certain supplies of energy. The tax forms part of the government’s energy efficiency programme, designed to help reduce greenhouse gas emissions.
CCL was implemented on the 1st April 2001 and affects most businesses and public sector bodies that pay VAT at the standard rate on their energy bills. CCL only applies to the amount of energy supplied; it does not apply to non-energy components of a bill, such as fixed, availability or transportation charges.
Suppliers of the specified fuels are required to collect the levy on behalf of HM Revenue and Customs.
Occasionally, we may need to cancel an existing bill and re-bill your account for a specific period of time. This usually happens when an accurate meter reading is provided to replace the estimated figure used in the original bill
The credit for the cancelled bill will show on the replacement bill.
A fixed price tariff lets you buy your energy at the same price per unit. But if you use more of those energy units, or we think you'll use more over the coming months, the amount you pay goes up. It's so you don't build up debt on your account.
Your Direct Debit may also go up when you're coming to the end of your fixed price tariff. Once you go beyond the end date the price you pay per unit is different, so we take this into account as well.
Our daily standing charge is simple - it helps to cover the fixed costs of supplying energy to your home. The standing charge will be discounted if you choose to pay by direct debit.
We've made it easy to see what the daily standing charge is on your bill - the other figures you'll see relate to the number of energy units you've actually used (or we've estimated that you've used) and the cost for those units based on your chosen tariff.
Calorific Value is the amount of energy contained in the gas you burn. It can vary in different parts of the country due to the different sources of gas.
The National Grid gives us a daily value and we work out an average for the period covered by your bill.
If you are on a Fixed Term Tariff, your prices will not change during the life of the contract. However if you are on a variable tariff there is a possibility your energy prices will move up or down.
This movement is a reflection of changes seen in the wholesale market and/or other costs we face. If we do decide to change our prices at any point, we will always give you at least 30 days’ notice before these changes take effect so you have time to prepare.
A Fixed Term Tariff is an energy plan where, unlike a variable tariff, prices are set for a defined period of time.
A Fixed Term Tariff is a good option if you want the security of knowing that the amount you pay for each unit of energy will not change over the life of the contract. When you sign up to a Fixed Term Tariff, you will have to agree to a sign a fixed-term contract, these can range anywhere from 12 months to up to 3 years.
With Fixed Term Tariffs, there may be an exit penalty to pay if you decided to leave before the tariff end date.
Although the unit rate and standing charge on Fixed Term Tariffs remain the same, please remember that the actual amount you pay will depend on how much
energy you use.
A Variable Tariff is an energy plan which has a certain defined price for the use of energy, however there is a possibility these prices will move up or down to reflect changes in the wholesale market and/or other costs we face. If we do decide to increase our prices at any point, we will always give you at least 30 days’ notice before these changes take effect.
A variable tariff is a good option if you want flexibility with your energy. There is no fixed term which means you’re not tied down into a lengthy contract. You can leave at any time and there is no exit fee to pay.
Paying by fixed Direct Debit means your payment is set to the same amount each month. The cost of your forecasted yearly energy usage is calculated and then split into 12 equal monthly payments.
We usually review your payments twice a year, so make sure that you submit monthly meter readings as this allows us to be accurate when forecasting your future energy costs.
If you prefer to pay for what you use each month, the variable Direct Debit is for you. The amount you pay each month may change depending on your usage, so if you’re submitting regular readings, you won’t be paying more or less than the energy you use.
We tend to use a lot of energy in winter to heat our homes, so our bills tend to be higher at this time of year. This is something to consider when paying by variable Direct Debit, as you won’t be building up credit on your account from the cheaper summer months, like you would on the fixed Direct Debit.
Your bill is made up of two charges:
- Your daily Standing Charge
- Energy you have used (Gas and/or electricity usage)
£50 for you and £50 for your friend
Refer a Friend to ESB Energy and you both get £50 free energy credit