Electricity Price Hike

[Happier diner]

1 minute ago, hissingsid said:

This is what Happy Diner does Bazza just ignore most people do.

What. Disagree and make a point. BTW I note old Bazza hasn't answered @Ativaa question yet. Loving you all. 

[Bazza Smurf]

19 minutes ago, Happier diner said:

No. You didn't say you had an agenda .or did you?

Cannot remember now. Sorry. It's up the pages if you look. Not important to me. It is to you though so take a look. 

When I did post the chart you didn't like, I did say the purpose was to keep the issue in the public domain. You are helping me swimmingly and for that I am truly grateful. 

 

 

[Happier diner]

1 minute ago, Bazza Smurf said:

Cannot remember now. Sorry. It's up the pages if you look. Not important to me. It is to you though so take a look. 

When I did post the chart you didn't like, I did say the purpose was to keep the issue in the public domain. You are helping me swimmingly and for that I am truly grateful. 

 

 

Fair enough. I have no axe to grind with you and like I said if you can get the price of electricity down then you will have my greatest respect. If you look at your post that I quoted it might make you smile though. 

[Bazza Smurf]

1 hour ago, Happier diner said:

Fair enough. I have no axe to grind with you and like I said if you can get the price of electricity down then you will have my greatest respect. If you look at your post that I quoted it might make you smile though. 

Moneywatch IOM  is the Facebook group I admin (or try).  There's  nothing too heavy on there. You are welcome on board any time. I have no axe either and wish you nothing but the best. 🙏

[Bazza Smurf]

[Happier diner]

2 hours ago, Bazza Smurf said:

Now that's a better graph. Gives the full picture.  The trend is good. Still more expensive than anytime in last 10 years. But only just now. Its still double the average of the last 10 years though. 

[Bazza Smurf]

1 hour ago, Happier diner said:

Now that's a better graph. Gives the full picture.  The trend is good. Still more expensive than anytime in last 10 years. But only just now. Its still double the average of the last 10 years though. 

It goes so high in the middle that I'd need a full page to post the graph if I hadn't cut it down. 😄 Joking! I chop the top of it to keep it as the title picture for the Moneywatch group. 

[Bazza Smurf]

 

[Bazza Smurf]

Is the next electricity price rise justified in only six weeks time? 

All we know is that the decision to raise the price of electricity on the island was taken when the wholesale price was approximately three times what it is now. 

In January 2023 the then MU Chair said in Tynwald that for the price to hold as it was at that time, the wholesale price would need to remain at about the 150 pence per therm range. 

Much has changed on the wholesale market since and there has been several stories in the UK media whereby it's expected energy prices will lower soon. I'm guessing that's both gas and electric, but not living there, I have more interest in what's happening here. 

I cannot help but think that the current MUA Chair is a bit quiet at the moment as we prepare to get royally stuffed with higher bills. Time to contact Manx Radio I think. 

[GD4ELI]

6 minutes ago, Bazza Smurf said:

Is the next electricity price rise justified in only six weeks time? 

All we know is that the decision to raise the price of electricity on the island was taken when the wholesale price was approximately three times what it is now. 

In January 2023 the then MU Chair said in Tynwald that for the price to hold as it was at that time, the wholesale price would need to remain at about the 150 pence per therm range. 

Much has changed on the wholesale market since and there has been several stories in the UK media whereby it's expected energy prices will lower soon. I'm guessing that's both gas and electric, but not living there, I have more interest in what's happening here. 

I cannot help but think that the current MUA Chair is a bit quiet at the moment as we prepare to get royally stuffed with higher bills. Time to contact Manx Radio I think. 

If wholesale energy falls in price, will my bill go down?

Yes, but not straight away. The energy bills are based on wholesale prices, but not in real time.

That is because wholesale energy costs fluctuate a lot. To get around this, energy firms 'hedge' by buying gas and electricity well ahead of when it is needed. 

They can do this months - and even years - ahead of when they actually need it.

It means that our current monthly bills do not reflect today's prices, but rather the wholesale cost from when the supplier first paid for the energy.

So it can take a while before low wholesale prices bring down energy bills. There are several different ways of tracking wholesale costs, including the current price and the season ahead, and these all need to drop to impact energy bills.

[Bazza Smurf]

5 minutes ago, GD4ELI said:

If wholesale energy falls in price, will my bill go down?

Yes, but not straight away. The energy bills are based on wholesale prices, but not in real time.

That is because wholesale energy costs fluctuate a lot. To get around this, energy firms 'hedge' by buying gas and electricity well ahead of when it is needed. 

They can do this months - and even years - ahead of when they actually need it.

It means that our current monthly bills do not reflect today's prices, but rather the wholesale cost from when the supplier first paid for the energy.

So it can take a while before low wholesale prices bring down energy bills. There are several different ways of tracking wholesale costs, including the current price and the season ahead, and these all need to drop to impact energy bills.

I completely agree I think with that train of thought, but in the same breath I as a consumer of electricity need to know when the price is expected to come down also assuming there is a chance that the MU are also thinking about buying more gas for the turbines and IOM Energy soon. 

It will be interesting to see what CURA decide the gas price for IOM Energy should be post July 2023. They will know the purchased price of the gas to be burned for the next six months. 

In other words the MUA give us general guidelines as to how they run their business and price us accordingly, CURA explain the pricing model in detail and supply evidence and justification for any rise or fall. 

Obe thing for sure is that we really need to hope for lower gas bills as the price of electricity will soon be tough to swallow..

[GD4ELI]

1 minute ago, Bazza Smurf said:

I completely agree I think with that train of thought, but in the same breath I as a consumer of electricity need to know when the price is expected to come down also assuming there is a chance that the MU are also thinking about buying more gas for the turbines and IOM Energy soon. 

It will be interesting to see what CURA decide the gas price for IOM Energy should be post July 2023. They will know the purchased price of the gas to be burned for the next six months. 

In other words the MUA give us general guidelines as to how they run their business and price us accordingly, CURA explain the pricing model in detail and supply evidence and justification for any rise or fall. 

Obe thing for sure is that we really need to hope for lower gas bills as the price of electricity will soon be tough to swallow..

You need a list of future contracts.

[Bazza Smurf]

13 minutes ago, GD4ELI said:

You need a list of future contracts.

I will try. I'm on it already. 

[Bazza Smurf]

On 4/22/2023 at 1:20 PM, Happier diner said:

What. Disagree and make a point. BTW I note old Bazza hasn't answered @Ativaa question yet. Loving you all. 

No. I blocked him because he was disrespectful. I never am disrespectful. There's no need. You ask it and I'll answer you. I am not going to be disrespected on this forum ever again. As a cabbie I put up with endless nonsense. I'm not having it on here also. 

So please you ask the question and I'll try to answer it as long as it isn't disrespectful. 

[Non-Believer]

I stand to be corrected on this but I'm sure that Alex Allinson in his then capacity as MUA Chair previously stated that a fall in wholesale gas prices would not result in a fall in local electricity prices.