The UK’s major energy companies seem continually locked in a price war, in an effort to beat competitors and take control of the lucrative market. However, this isn’t all good news for you though as the average annual energy bill has doubled since 2004 and experts suggest this could happen again by 2020.
Energy companies are now raising prices at an alarming rate, blaming the wholesale cost of gas and electricity for the increases. And the big six suppliers up their rates in unison, leaving consumers with little option but to pay out more every year on their bills.
However, there has been a change in the way tariffs are now being marketed with a higher emphasis on ‘green’ tariffs. It’s not a surprise that 46% of homeowners say they’d consider switching to these deals, with most people feeling a need to be more energy conscious.
Whilst changing tariffs can save you money and is environmentally friendly too, we ask the question of whether it’s really an offer too good to refuse.
Green energy
Whilst all of the latest gadgets and gizmos may consume copious amounts of electricity and you’re aware of the environmental repercussions, it won’t often sway your decision to not purchasing that 50” inch plasma.
Energy is generated through the burning of fossil fuels; something which is unsustainable and damaging to the environment too because of CO2 emissions released. As the resources of coal, natural gas and oil deplete, turning to green measures is essential.
Green tariffs relate to the creation of energy from renewable sources. This could be from solar power, the wind or even tide. Products such as solar panels, wind turbines and hydroelectricity stations take advantage of the sustainable sources, saving you money and even helping you to do your bit for the planet.
Can I generate my own green energy?
Whilst changing to a green tariff will help the environment, if you really want to make substantial savings, investing in your own product is the best bet. There can be a high initial cost associated with this, but over time you’ll make this back and even see a considerable profit in most cases.
But many homeowners seem put off from switching to green energy because of the common misconception it won’t be powerful enough to provide energy for the property. This is simply not true and advancements in the technology mean they provide more than enough energy.
In fact, with solar panels, not only will you make a saving on annual energy bills, but the Government-backed feed-in tariff will earn you more than £500 each year, for 20 years. With renewables you can end your reliance on fossil fuels and protect your outgoings for at least 25 years.
If you don’t have the funds available for green technology, then changing to a green tariff won’t incur any costs either. Your supplier will do all the hard work and you’ll be provided with eco-friendly energy straight away.
Savings are dependent on hour home, tariff and energy use, but they’re potentially massive.
Essentially if you’re considering switching to a ‘green’ tariff then do it. Don’t take the first deal you see though. Identify a tariff which keeps expenses low whilst focusing on renewable and sustainable energy.
If you want to make even greater savings then look at renewables such as solar panels and air source heat pumps to invest in. Despite a large investment you’ll recoup the money put in over time and even add value to your home.