Customers on Customers on a Variable Tariff (including deemed and out of contract)

Customers on a variable tariff (including deemed and out of contract)

Am I eligible for EBRS?

• Yes, you are eligible and will receive a discount on your energy bills.

How will the discount be calculated?

• For customers on deemed/out of contract rates, a single discount set by the government will be applied to all customers. This will be calculated by comparing the government supported price to the average of expected wholesale prices over the period of the scheme.
   
• The government has now published the Energy Bill Relief Scheme discount rates for fixed and default/variable contracts, which you can find here.


• It is important to highlight that it will be subject to a maximum discount level (currently set at £34.5/MWh for electricity and £9.1/MWh for gas) and that the discount will initially be set at this level.

Could the amount I pay still increase over the period of this scheme?

• Yes. If wholesale prices rise during the scheme, we may need to increase deemed/out of contract rates to cover these costs. As your level of discount is capped by the government you would pay more over the period. The government also reserves the right to reduce this discount during the scheme if wholesale prices begin to fall sustainably. As a result, the government is strongly advising those on deemed/out of contract rates to consider signing up to a fixed contract.
  
  TotalEnergies Gas & Power is committed to offering all our micro business customers a fixed contract option for better protection against such price increases, and our team can help you find a fixed rate contract suitable for your business.
  
  You can contact our specialist team on 0800 0289597 (9-5, Monday-Friday) or by emailing [email protected].

What is the Energy Bill Relief Scheme (EBRS)?

• The EBRS has been designed to provide non-domestic energy users worst affected by the high energy prices with much-needed help with their energy bills over winter 2022/2023.
• The scheme will run from 1^st October 2022 – 31^st March 2023 across Great Britain, and the government will provide a discount on energy bills over this period.
• More information on the scheme can be found in the government’s press release (https://www.gov.uk/government/news/government-outlines-plans-to-help-cut-energy-bills-for-businesses) and explainer document (Energy Bill Relief Scheme: help for businesses and other non-domestic customers - GOV.UK (www.gov.uk))
• Customers do not need to take any action and the discount will be automatically applied for eligible customers.

How much will the discount be?

• The level of price reduction for each business will vary depending on your contract type and circumstances and is determined by the government. See below for more details.
• We’re letting eligible customers know that they are eligible and the level of discount they can expect.

Who is eligible for the EBRS?

• The EBRS will be available to non-domestic customers including businesses, voluntary sector (e.g. charities), public sector organisations (e.g. hospitals and schools) who:
• Agreed a fixed price contract on or after 1^st December 2021 that is above the government supported price. Fixed contracts agreed before this date will not be eligible.
• Are on tariff/deemed/out of contract rates
• Are on flexible purchase (or similar) contracts - eligibility and the level of discount will be calculated according to the specifics of each contract

Exclusions: There may be very limited exclusions to eligibility, for example businesses that use gas or electricity for the purpose of generating power they are selling back into the grid, such as power stations, pumped hydro or grid-level battery storage.

Do I need to change my product or buying behaviour?

• We will be encouraging those customers on a variable or deemed contract to fix their price with us.
• We will not be offering a 6-month fixed price contract to those customers on a flexible contract (excluding microbusiness customers on deemed rates).
• Normal buying behaviour must continue. As stated in government guidance, ‘non-domestic suppliers and consumers must not profit from the scheme other than for its intended purpose of providing relief on necessary energy bills. Any such activity will result in support being refundable to government and may be liable to further penalties’.

Are green levies included in the discount?

• Non-domestic customers bills will still show green levies being charged, but in all cases those who get this charge will be covered by the EBRS discount for eligible energy use.