TEAM Energy’s Head of Customer Success, Tom Anderton, breaks down what support businesses can expect to see from the new Energy Bills Discount Scheme.
Ahead of the closure of the Energy Bill Relief Scheme (EBRS) in March, the UK Government has announced a new initiative to support businesses with the high cost of energy.
The Energy Bills Discount Scheme will apply a discount based on the wholesale price of energy until March 2024. The move comes in response to the falling price of wholesale energy which has dropped to levels seen before the Ukraine war.
The Government claims the scheme will most support businesses tied into expensive contracts from when the price of energy had peaked. Contracts that at the time were compounded by a number of suppliers exiting the I&C market due to its volatility and suppliers still operating being able to name their price.
The announcement sets out guidance for how businesses can expect to benefit from the discount. From April eligible businesses will see a ‘unit discount of up to £6.97/MWh on their gas bill and up to £19.61/MWh on their electric bill. This will be subject to a wholesale price threshold, set with reference to the support provided for domestic consumers, of £107/MWh for gas and £302/MWh for electricity.’ Clear as mud.
Read the full news piece for Tom’s take on it: https://www.teamenergy.com/dis…