npower sign online 23 tariff


Npower sign online 23

Update: Warning, this tariff is coming to the end of it’s term.

Your prices will increase to Standard Energy prices

When the term of your tariff is reaching it’s end, you will be placed on your suppliers standard tariff. Find out what is the best thing to do now. http://energy-advise.com/2012/10/21/what-to-do-when-your-online-tariff-is-ending/

end of update!

review

Energy expert Martin takes an in depth look at
this tariff, and awards a rating based on price – discounts –
length of tariff – other services provided with tariff.

Due to this suppliers price and services offered
with this tariff, it has been awarded

 

4/5

For: Consistantly amongst the cheapest tariff’s

Against: Have to wait 12 months to get all the discount

What would I do: Get an accurate quote direct from npower and cut out the rest of the mumbo jumbo associated with comparison sites.

What would you like to do next?

 



See the discussion below, for and against this tariff in the comments!

Tariff Notes

  • Sign Online could bring you cheaper gas and electricity prices online with discounted energy for the average dual fuel direct debit customer until 6th November 2012.
  • This product is only available online for dual fuel or single fuel customers
  • Paperless billing is mandatory
  • The customer must pay by monthly Direct Debit
  • For the average dual fuel Direct Debit customer, charges are at least 2% lower on an annual basis when compared with Npower’s standard (off-line) variable tariff, until 6th November 2012. Annual charges for other customers including those taking only one fuel will vary and may be higher than standard. After 6th November 2012 customers will revert to Npower’s standard variable online tariff – Go Save
  • Dual fuel customers will be eligible for an annual £100 Direct Debit discount if they have paid this way continuously over 12 months. Single fuel customers, their Direct Debit annual discount will be £40 for single fuel electricity or £50 if single fuel gas.
  • Prices aren’t fixed or capped, so may vary during the offer period.
  • Not available to prepayment or Pay on Receipt of Bill customers
  • The offer is subject to availability

 

Tariff Discounts

Direct Debit discount of £52.50 per year for gas and £42 for electricity. Dual fuel discount of £10.50 per year (Total of £105 discount) .

Npower’s Direct Debit discounts are applied to accounts credited on the final day of month 12 in each year and are included in the cost calculation result.

Discounts above include VAT and are included in your savings and cost figures unless specifically stated otherwise.

28 Comments

  • Rod (#)
    August 20th, 2011

    This tariff is a scam.

    From the npower website: “A cancellation fee of £20 per fuel may apply if you change tariff or supplier before 6th November 2012.” This tariff is a variable tariff and this practice is now prohibited by OFGEM (according to their advisory letter of the 16 Aug 2011) to all energy companies.

    Furthermore, discounts are not paid until the account has been open for 12 months. So if prices rise (variable tariff) you not only have to pay a termination fee but also lose all your discounts.

    In my view this tariff is a scam. Nothing less.

    Rod

    • martins blog (#)
      August 20th, 2011

      Hi Rod
      That was a bit severe!
      All energy suppliers have an online discounted tariff such as this. And all tariff’s which are neither fixed nor capped, are variable.
      Also, if you check through all the energy suppliers online tariff’s, you will see that most of them charge a cancelation fee. (They offer their cheapest price based on you sticking with them for the term of the contract)
      OFGEM rules allow a customer to leave a supplier without penalty when the supplier has announced a price increase. Provided you do so within 30 day’s of notice of the increase!
      Thanks for this comment Rod
      It let’s us see how some People perceive these tariff’s!

      • Rod (#)
        August 21st, 2011

        Hi Martin,

        I would comment that the tariff only appears to be cheaper because it includes discounts which may not actually be paid.

        Because Sign Online 23 is a variable tariff, NPower can, and probably will, increase prices during the term of the contract. So NPower can keep its prices low for now and then hit customers with price inreases later, knowing it will save itself the payment of discounts if customers reject the increase. Ofgem currently offers no protection at all from this scam.

        Customers will be effectively locked in to a variable tariff. This is not the same as being locked in to a fixed tariff where prices cannot be increased under the terms of the contract.

        I would suggest that anyone thinking of signing up this sort of “deferred discount” tariff asks themselves the question: If prices increase, how much will I lose if I switch to another provider? The answer for this tariff is around £12.50 discount lost for each month the contract has been running plus £20 per fuel as a termination charge.

        • martins blog (#)
          August 21st, 2011

          Hi Rod
          Thanks again for your comments.
          The way npower give their discount is one of the things I don’t like about their tariff’s. However, they do provide a cheap price for their sign online tariff’s. The fact they have already increased their prices makes this a good choice. Okay, so you get £105 back after you have been with them for a year (As you are aware this is part of the discount already included in the savings which are shown on comparison sites) I think your term of (SCAM) is a bit harsh. It’s just a clever bit of marketing from npower to get customer’s to stay with them.
          The real issue here is:
          If they increase their prices, it won’t make sense to leave them until you have received your £105 discount.
          Ps’
          As you are not spamming, I have allowed any comment’s you post, to appear without moderation!

          Thanks

          Martin

  • Rod (#)
    August 21st, 2011

    Oops!

    That should have been “around £8.30 discount lost for each month the contract has been running plus £20 per fuel as a termination charge.

    Rod

  • Rod (#)
    August 21st, 2011

    Hi Martin,

    What you have said: “If they increase their prices, it won’t make sense to leave them until you have received your £105 discount.” is, of course, factually correct but is it morally defensible?

    I call it anti-competitive behaviour. The whole point of opening up the energy market was to encourage competition not to stifle it.

    The truth is that while one company uses this kind of clever “marketing”, it is likely all others will need to follow suit to appear to be competitive on comparison sites.

    It’s the Confidence Code which needs to change to eliminate this behaviour and to this end we, the customers and prospective customers, should complain to Consumer Focus who enforce the code. True discounts should be integrated into the tariff prices and not used as a termination fee in disguise.

    Rod.

    • martins blog (#)
      August 21st, 2011

      I don’t approve of the cashback (£105 discount already included in the savings shown on comparison sites) after 12 months with npower. But I would still switch to them if they were showing the cheapest price!

      • martins blog (#)
        August 21st, 2011

        Atlantic energy do something similar. Only their rebate is paid out in month 13 and is not included in the savings quoted on comparison sites. For example: if you consumed £1200 of energy over 12 months, they would credit your account with £100.!
        So this would be another supplier you shouldn’t leave until you have received your credit

  • Rod (#)
    August 22nd, 2011

    Hi Martin,

    Just a final comment regarding the 5 bulbs award above.

    What does this mean? Is that a well deserved 5 out of 100 or do you approve of this marketing method by awarding 5 out of 5. Any score is meaningless unless the maximum score is known.

    It would also be nice to be able to edit mistakes in posts, if possible.

    I trust you will take this comment in the spirit of constructive criticism.

    Rod.

    • martins blog (#)
      August 23rd, 2011

      Hi Rod
      I don’t mind the criticism at all!
      However, as much as I don’t approve of the way npower pay the discount after 12 months. They have constantly been amongst the cheapest with their sign online tariff’s.
      As much as I am on the consumer’s side, I don’t grudge a supplier trying to retain customer’s for as long as possible!
      I have given this tariff 5 out of 5 because of npower’s track record with the sign online tariff’s. Even with past price increases, it has still remained competetive .
      Ps’
      I do agree with you, to the extent that this doesn’t seem very fair to the consumer. But looking into past record’s. The customer hasn’t done to badly at all by sticking with it for the term of the contract.
      And thanks for pointing out my mistake. I will rectify 5/5

  • Rod (#)
    September 1st, 2011

    I accept that “They have constantly been amongst the cheapest with their sign online tariff’s” but what you (or they) DON’T say is that once they have sucked you in with seemingly cheap prices, they can, and probably will, increase prices later in the year but then customers will be faced with termination charges and forfeiture of the promised discounts if they want to switch.

    You have been warned.

    Rod.

    • martins blog (#)
      September 2nd, 2011

      Hi Rod
      You’re not happy about this tariff at all, are you?
      I’ve been in the energy business for many years, and it has been part of my job to keep an eye on all the suppliers different tariff’s.
      When suppliers have price increases, they are all much the same with their increase. The difference in price between one supplier to the next remains about the same.
      I am not saying this tariff will always be amongst the best. But so far to date, npower are doing quite well with it as far as the customer is concerned.
      I am not in the business of promoting any particular energy supplier. I make it my business to give People accurate infomation, so they are in a position to make an informed choice when choosing their energy tariff.
      I have rated this tariff appropriately, based on People who have done a comparison and this tariff has shown up as the cheapest for them.
      I would suggest, that anyone who is not happy about waiting 12 months to get all the discount. They should consider choosing the second cheapest tariff!

  • kris (#)
    October 20th, 2011

    Yes I also signed for Online 23 in beginning of August, but now at october I received letter from Npower that they can,t set me up on this tariff because of meter I have got (it is meter without card). Instead they are putting me on Gas Standart tariff.
    Is it true that I need a special gas meter for Online 23 tariff? And if I signed for that tariff should Npower change that gas meter then? Can they put me on another tariff on their own not asking me?
    Kris

    • martins blog (#)
      October 21st, 2011

      Hi Kris
      I will need some more information on this.
      You have already indicated that your gas meter is not pre-pay. However, you haven’t mentioned your electricity meter. It may be your electricity meter which is affecting the tariff on your gas meter.
      Were you not able to switch your electricity?
      Are you paying your gas by Direct Debit?
      Also, I wouldn’t be happy about being placed on their standard tariff when I had applied for an online discounted tariff!
      You can switch from a standard tariff any time without penalty.

  • kris (#)
    October 21st, 2011

    Good morning Martin! Thank You for help with info!
    My electric.meter is standard (it is not pre-pay. When I signed for offer Online 23 I took both fuels. My electricity is still on that tariff (as I haven’t received any letters about eletrcicity – only about gas). I will pay by Direct debit , but haven,t paid yet because they started to supply me on 19 of october. So at the moment as I understand My elector is on Online 23 and gas will be on Standart – what means that I will not be able to save as much as I wanted. They say that Online 23 is 2% cheaper than Standart. 2% are not so important for me, but I hope I will not lose those discounts (100£ for paying by direct debit + 40£ for choosing both fuels).
    Just the QUESTION IS – can they do that (put me on another tariff) without my confirmation? and do I really need that pre-payed gas meter box for Online 23?
    Have a nice day M.
    Kris

    • martins blog (#)
      October 21st, 2011

      Hi Kris
      It sounds to me as though there is some confusion over your gas meter.
      A dry meter (non pre-paid)which is suitable for a standard energy tariff, would also be suitable for an online discounted tariff.
      The only meters which don’t benefit from online discounts are pre-pay. So getting a pre-pay meter is not actually an option for you to get this tariff.
      If I were you, I would phone npower, and ask them what type of gas meter they think you have.
      And “NO” they shouldn’t have transferred you to their standard tariff without getting your okay on it first!
      Npower phone number:
      0845 070 4851

      Lines are open:
      Mon – Fri, 8.00am to 8.00pm

      Sat, 8.00am to 6.00pm

  • Ed (#)
    December 5th, 2011

    Hi Martin,

    I signed up to this tariff what seems like an age ago. The electricity account got set up at the beginning of Nov eventually and the first DD payment went out this month. The gas has only just been set up and so the first DD payment doesnt go out till Jan. Does this mean I wont get the 12 month DD discount until January – when sometime in November I will be moved to a different tariff?

    If so – is there anything I can do about this – and do you know which tariff it will be moved to?

    Thanks

    Ed

    • martins blog (#)
      December 8th, 2011

      Hi Ed
      I have raised this query with npower. Just waiting for feedback from them. I will let you know their answer as soon as possible

      • Ed (#)
        December 14th, 2011

        Hi Martin – thanks for that – I’m sure you agree – that making me wait until January to receive the full discount is probably intentional on their part – but I do not agree with especially given the time it takes to switch services I am concerned that I will be on a higher tariff for quite a while. As they actually started suppying me at the beginning of October – I will also be constantly in arrears.

        • martins blog (#)
          December 14th, 2011

          Oh good, you received the message then, that you will have to wait until January to receive your discount. I’m not a great fan of this having to wait 12 months plus to get your discount, but, unfortunately more energy suppliers are starting to do this. The idea is to encourage People to stay with them.

  • Ed (#)
    December 14th, 2011

    Hi Martin – that is confirmed then is it? Do you think they are also likely to raise my DD then given that I have essentially had 2 months of usage so far without paying into it.

    Do suppliers not realise that it shouldnt be a smash and grab job for customers – if you someone signs up who is willing to switch in the first place – they are only likely to do it at the end of the contract if you annoy them in the process! Not a good long term strategy.

    • CLIVE ANTHONY GIBBONS (#)
      February 20th, 2012

      NPOWER HAVE JUST INFORMED ME THAT MY (SIGN ONLINE 21 TARRIFF) COMES TO AN END 31/3/2012 AND THAT THEY WILL BE SWITCHING ME TO “GO SAVE” ON 1/4/2012.
      ON THE REVERSE OF THE LETTER IT GIVES THE OLD AND NEW PRICE STRUCTURE
      THE ANNUAL BILL CHANGE FOR ELECTRICITY IS A MASSIVE 37.9%
      WHILST THE GAS PRICE DECREASES BY -0.5% FUNNY COINCIDENCE AS WE USE VERY LITTLE GAS.
      WHERE HAS HONESY AND FAIRNESS GONE.
      A VERY CONFUSED 70yr OLD PENSIONER

      • martins blog (#)
        February 20th, 2012

        Hi Clive Gibbons
        Thankyou for your comment. Your reduced gas price has probably coincided with the recent price drop on gas prices. Online energy prices are greatly reduced to attract new customers. They only give you these lower prices over a fixed period. In your case SOL 21 comes to an end on 31st March 2012. The same applies to all the energy suppliers who offer a cheaper rate on the internet.
        Anyway, never mind all that. Here is a piece of expert advice for you http://energy-advise.com/2012/01/09/managers-favourite-energy-deal/ Visit that link and switch to that tariff.
        Is this my favourite because I get paid a huge commission?
        No! I won’t get paid anything when you switch to this tariff. It’s just an honest piece of good advice!

  • Mazrik (#)
    May 9th, 2012

    Hi Martin,

    Hi sign up for Sign Online 23 Tariff on Sept 2011. My flat uses only electricity with Economy 7 meter.
    I received my first bill on December 2011. After that until May 2012 I do not receive any bill. I did not send the meter reading during that period and they also did not remind me to send the meter reading although I subscribed to that service. Last week I just realize that I did not recieve the bill and submitted my meter reading. Today I receive an email from NPOWER.

    =======================================================================================================================
    I can see that you kindly provided your meter readings on the 3rd May 2012. Your readings have been used for information purposes. Upon checking your account, I can see that we have been trying to have a load test done. This is a simple task that will ensure we’re billing your account correctly. You should have received correspondence requesting this task takes place.

    I’d be extremely grateful if you could read your meter twice between the hours of 8:00am and 8:00pm. To help in this it may be best to boil a kettle in between the first and second reading, to ensure some usage has gone through the meter. I’m asking this because it may be your meter readings are transposed, which means you’re night and day readings have been entered in to our system incorrectly.

    You can be confident upon receipt of this information, we’ll ensure your account is billed up to date and your Direct Debit payments are reassessed based on your accurate usage. We may also need to re-bill your account, from when took over the supply on the 3rd September 2011.

    Just to let you know your next bill will be produced on or around the 2nd July 2012. To ensure that we produce a correct bill for you, we’d be grateful if you could provide up to date meter readings, either eight days before or up to seventeen days after this date, as this is what’s known as our ‘Billing Window’. This will also ensure that we reassess your Direct Debit payments accurately. As you are set up with an online account, why not activate the online ‘Meter Read Reminder Service’? You can then be confident, we’ll send you email notifications, as and when we require up to date meter readings from you.
    ========================================================================================================================

    My concerns are
    1) It is ok not to have bill for quite a long time. It is suppose to be every 3 months but now it is almost 6 months.
    2) Why they are waiting until July to provide the next bill. Is it a normal practice?
    3) Is it possible that they just want to make bill on July so that they can charge me more (maybe they will increase the price by then)
    4) Can you explain about the load test and Billing Window?

    Thanks

    Regards
    Mazrik

  • David hill (#)
    October 20th, 2012

    Who can beat or match my old npower23 rates that finish on November 6th ?

    • Martin Ramsey (#)
      October 21st, 2012

      Hi David
      You should get quotes based on you being on Standard energy, as this is the tariff you will be transferred to.

    • Paul (#)
      October 26th, 2012

      I doubt anyone will be able to beat SOL23 in Nov 6th, though you should have been notified of an extension until Nov 26h when you be tranferre3d to a new tariff “Go Save S”.

      This new tariff is similar to SOL23 (monthly DD with standning charges) but has the Standing Charges and Annual Discounts shifted around amongst the Dual Fuel option, but the overall charges/discounts for a Dual Fuel are about the same as SOL23.

      However there is a massive price rise for electric.

      Here’s a Southern Electric area price structure.

      ELECTRIC
      ————

      Unit rate (kWh) = 15.14p (ex vat) (up from 9.100p)
      Annual standing charge = £33.58 (ex vat) (down from £98 approx.)
      Annual discount/reward = -£45 (pre vat) (up from £40)

      GAS
      —–

      Unit rate (kWh) = 3.771p (ex vat) (up from 3.307p)
      Annual standing charge = £159.87 (ex vat) (up from £100 approx.)
      Annual discount/reward = -£55 (pre vat) (down from £50+£10 dual fuel)

      Given that the total standing charges and discounts is about the same for a dual fuel customer, then by my reckoning then this new tariff represents about,

      a 66% rise in the unit cost of electricity per unit

      and

      a 14% rise in the price of gas per unit.

      Can’t see any early move penalties except the loss of the Annual Discounts.

  • Paul (#)
    October 27th, 2012

    Here’s the lihk to that new Go Save S tariff, if you want to check out prices in your own area.

    http://www.npower.com/sol23end

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