With more protests being made to ensure that energy companies meet their UK targets, five of the “Big Six” energy companies have now decided to drop their Green Energy deals to existing customers. While campaigners feel this might undermine the country’s national bid to tackle climate change, suppliers believe this is the sole reasoning behind high gas and electricity bills.
Green energy is only generated through renewable sources and although low carbon technologies such as wind turbines and solar panels will help to save money on average electricity bills and reduce carbon footprints in the long run, they are expensive to produce and install.
The Big Six energy companies currently supply 90% of the energy market in the UK and now only one is offering a100% renewable energy tariff to its new customers. This may force new customers who wish to support green energy tariffs towards smaller suppliers who can offer them this service.
EDF Energy withdrew its green tariff offer in October 2012 but recently released a statement saying that it “remains committed to contributing towards a diverse, low- carbon generation mix”. Saying also that “EDF encourages customers to sign up to products that are low carbon backed. The company’s suite of “blue” products offer a guarantee that the electricity a customer uses will be matched by low carbon electricity generated by nuclear power stations”. Some 1.4 million customers have switched to “blue” energy since April 2012.
One of the main reasons companies will no longer be offering a green deal is they feel there is currently not enough transparency with customers believing that company profits are due to rising bills when actually the costs for providing the green energy deal need to be recouped.