Tackle energy tariffs The Which? simple energy tariff

Affordable Energy Campaign poster

We're tackling tariffs as part of our Affordable Energy Campaign

Your energy tariff doesn't have to be complicated. Which? is proposing a simpler format for energy tariffs that means everyone pays a fair price for their energy, and can compare the cost between companies quickly and easily.

The Which? tariff would have two charges:

  • A daily standing charge, which would cover just the cost of delivering the energy to you. Think of it as the equivalent of a line rental on your phone – it’s the cost for keeping you connected to the gas pipes and electricity cables. This cost would be set by Ofgem and would be the same for all energy companies.
  • A cost per unit for your energy, which covers the amount of gas and electricity you use, and includes any discounts you might get for direct debit. In the phone example, this is the equivalent of your call charges, so you pay for what you use. Energy companies could decide their own unit price, meaning you could easily compare by unit price which was the cheapest deal for you.

Is that it?

Yes. Our ideal tariff is so simple that everyone can work out exactly how much they're paying and easily compare different tariffs, making it easier to ditch the ones who are ripping you off. 

It should also force suppliers to be as efficient as possible in providing a service to you, as they won't be able to recover a large amount of their costs through charges that you can't avoid. 

What's more, getting rid of expensive primary units and unregulated standing charges means you won't be penalised for being a low energy user.

Think this is a good idea? Ofgem has proposed that energy companies use this structure for standard tariffs, but not all. This means that energy suppliers could still confuse consumers with an array of 'innovative' deals that can't be compared at a glance. 

Email energy secretary Ed Davey and ask him to step in to tackle tariffs once and for all.

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