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September 03, 2007
Utilita, first to launch a twelve month domestic energy contract
Utilita, the gas and electricity supplier who re-launched in the domestic energy market after a fourteen month break in February 2007 are the first supplier to take advantage of the recent OFGEM decision to allow domestic energy customers to be offered a 12 month contract, thereby ending of what is known as the 28 day rule.
The 28 day rule required domestic suppliers to offer contracts that could be terminated on 28 days notice. This was originally put in place to prevent existing suppliers signing up customers on long-term contracts to restrict competition from new suppliers.
From a supplier viewpoint this will allow suppliers to develop innovative energy saving products which should ultimately help the consumer reduce their energy bills. Typical savings of some energy efficiency measures can be found in the table below.
However, from a consumer viewpoint there is a concern that these type of contracts will be sold to consumers who are not fully aware that they are tied into a long term contract.
Whilst on this occasion this supplier has confirmed that customers breaking the contract will not have any penalties imposed the main concern with these type of contracts is the ability for a supplier to allow a customer tied into a long term contract to leave to go to another supplier and then to bill them for what would have been their expected energy spend had they stayed with them.
This practice is common place in the commercial market and hopes are that this is not replicated in the domestic market.
Energylinx would encourage all domestic customers to carry out a free search on one of the following 100% impartial energy comparators:
Compare both gas and electricity prices
If you wish Energylinx are happy to send a written quote for those not comfortable doing everything online, you can obtain your free 100% impartial written energy comparison by calling Energylinx on 0800 849 7077.
| GAS | Potential energy savings as proportion of household energy demand | |||||||
| Property Type | No. of bed-rooms | 0-250mm Loft Insulation | 50-250mm Loft Insulation | Cavity Wall Insulation (pre-1976) | Boiler replacement (90%) | Tank Jacket | 4 CFL lightbulbs | A-Rated Fridge Freezer (standard) |
| Flat | 1 | 37.1% | 9.0% | 8.9% | 6.2% | 4.1% | 2.6% | 2.5% |
| Flat | 2 | 39.2% | 9.5% | 9.4% | 6.5% | 3.0% | 1.9% | 1.8% |
| Flat | 3 | 40.1% | 9.7% | 9.7% | 6.7% | 2.1% | 1.3% | 1.3% |
| Mid-Terrace | 2 | 22.5% | 5.4% | 12.7% | 7.4% | 3.4% | 2.1% | 2.1% |
| Mid-Terrace | 3 | 22.9% | 5.5% | 12.9% | 7.5% | 2.8% | 1.7% | 1.7% |
| End-Terrace | 2 | 18.7% | 4.5% | 18.1% | 8.0% | 2.8% | 1.8% | 1.7% |
| End-Terrace | 3 | 19.0% | 4.6% | 18.4% | 8.1% | 2.3% | 1.4% | 1.4% |
| Semi-bungalow | 2 | 32.6% | 8.2% | 14.5% | 8.1% | 2.7% | 1.7% | 1.6% |
| Semi-bungalow | 3 | 32.9% | 8.3% | 14.6% | 8.2% | 2.3% | 1.5% | 1.4% |
| Det-bungalow | 2 | 29.5% | 7.5% | 15.6% | 8.3% | 2.4% | 1.5% | 1.5% |
| Det-bungalow | 3 | 29.7% | 7.6% | 15.7% | 8.3% | 2.1% | 1.3% | 1.3% |
| Det-bungalow | 4 | 29.9% | 7.6% | 15.8% | 8.4% | 1.8% | 1.1% | 1.1% |
| Semi-house | 2 | 17.5% | 4.2% | 17.0% | 8.1% | 2.4% | 1.5% | 1.4% |
| Semi-house | 3 | 17.5% | 4.2% | 17.1% | 8.1% | 2.0% | 1.3% | 1.2% |
| Semi-house | 4 | 17.6% | 4.2% | 17.1% | 8.1% | 1.8% | 1.1% | 1.1% |
| Det-house | 2 | 15.4% | 3.8% | 20.7% | 8.3% | 1.9% | 1.2% | 1.1% |
| Det-house | 3 | 15.4% | 3.8% | 20.7% | 8.3% | 1.6% | 1.0% | 1.0% |
| Det-house | 4 | 15.4% | 3.8% | 20.7% | 8.3% | 1.4% | 0.9% | 0.8% |
| ELECTRICITY | Potential energy savings as proportion of household energy demand | |||||||
| Property Type | No. of bed-rooms | 0-250mm Loft Insulation | 50-250mm Loft Insulation | Cavity Wall Insulation (pre-1976) | Fuel Switching (full elec to full gas) | Tank Jacket | 4 CFL lightbulbs | A-Rated Fridge Freezer (standard) |
| Flat | 1 | 46.8% | 10.8% | 10.7% | 26.1% | 3.4% | 1.6% | 1.6% |
| Flat | 2 | 48.5% | 11.2% | 11.1% | 27.0% | 2.4% | 1.2% | 1.1% |
| Flat | 3 | 49.2% | 11.4% | 11.2% | 27.4% | 1.7% | 0.8% | 0.8% |
| Mid-Terrace | 2 | 28.1% | 6.7% | 15.5% | 31.5% | 2.8% | 1.4% | 1.3% |
| Mid-Terrace | 3 | 28.4% | 6.8% | 15.7% | 31.9% | 2.3% | 1.1% | 1.1% |
| End-Terrace | 2 | 22.5% | 5.4% | 21.7% | 33.5% | 2.3% | 1.1% | 1.1% |
| End-Terrace | 3 | 22.7% | 5.4% | 21.9% | 33.9% | 1.8% | 0.9% | 0.9% |
| Semi-bungalow | 2 | 42.2% | ||||||