Households with smart meters could be paid for turning off high-energy appliances such as washing machines during peak times to reduce the risk of blackouts this winter. The National Grid Electricity System Operator (ESO) is understood to be preparing to announce plans to reward consumers for easing the strain on the power grid.
What to do if you can't or are struggling to pay your energy bills
02.08.2022 - 18:27 / manchestereveningnews.co.uk
Energy bills are rising and financial experts are warning that a reduction in costs is not going to happen anytime soon. Households could see their bills hit more than £3,600 a year this winter.
Gas and electricity bills could reach as high as £3,615 in the new year, hundreds more than previous predictions according to consultancy Cornwall Insight, but many consumers are struggling to pay their current bills amid the rising cost of living.
The energy price cap increase, enforced by energy regulator Ofgem, saw the average energy bill rise to £2,000 instead of £1,400 a year in October, 2021. The cap, which limits the rates a supplier can charge for each unit of gas and electricity you use, changes every six months, though the next review/change is due in October this year.
READ MORE: What to do if you want to change energy providers - should you switch or not?
To put it into context one householder has gone from paying £69 a month for her gas and electricity with E.ON but is now paying £157 a month instead, others have seen a rise by £1,000 a year or more. The rise in bills is down to wholesale gas prices soaring in recent months. Demand has further increased following the Covid-19 pandemic and Russia's invasion of Ukraine.
Consumers pay for their energy bills in different ways, and are either on a fixed-rate tariff or a standard one, or a tariff that is specialised to their supplier. Payment methods vary depending on whether consumers pay by direct debit, have a smart meter or a pre-payment meter.
Morgan Wild, Head of Policy for Citizens Advice, said: “The cost-of-living crisis is already stretching people’s budgets to breaking point and there are further price hikes on the horizon.
“Every day we hear frightening
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