Peoples Energy: any experiences and/or knowledge of this supplier please?

[felstedrider]

Looking like 4 more supplier failures this week. 

[Polar Bear]

Any clues or is that just too much of a risk?

[felstedrider]

Any clues or is that just too much of a risk?

Pretty public to be honest.  If you dig around.

Home Hero
GoTo
Omni
Pure Planet

[Polar Bear]

Cheers.

Have to say that my good fu is utter crap as my searches didn't throw up any of those names, and, I have never before heard of any of them.

Still tip of the iceberg I guess.

[felstedrider]

Cheers.

Have to say that my good fu is utter crap as my searches didn't throw up any of those names, and, I have never before heard of any of them.

Still tip of the iceberg I guess.

Pure Planet is the most notable one as they made a big deal on market entry and touted the fact BP had invested in them.  It was in Sky News earlier.

You can see people go into energy credit default on one of the industry website.  Ofgem have also been naming and shaming those that haven’t paid their industry charges on time.  I was on an industry panel at a conference last week and it was properly depressing.  Things will recover slowly but the market needs to change and Ofgem and the Govt have their heads in the sand.

[Frank9755]

I think we are with Pure Planet - at the moment, at least! 
We'll see what happens when they fall over.

[Mr Larrington]

I think we are with Pure Planet - at the moment, at least! 
We'll see what happens when they fall over.

And another one two bite the dust.  Pure Planet and Colorado Energy.

[LittleWheelsandBig]

Should we be betting on the next energy companies to go bust each week?

[felstedrider]

Should we be betting on the next energy companies to go bust each week?

I’m probably not allowed to take part.

I went out to a social last week and for the first time in my life I dreaded being asked what I do for a living.

[ian]

Tell them the truth, I specialize in clown-themed assassinations.

[Frank9755]

I think we are with Pure Planet - at the moment, at least! 
We'll see what happens when they fall over.

And another one two bite the dust.  Pure Planet and Colorado Energy.

They took our direct debit yesterday just before they rolled over - two days earlier than expected.  I've done photos of the meters and will wait for someone to get in touch...

[Mr Larrington]

“Don’t tell my mother that my job is X*.  She thinks I play the piano in a brothel!”

* Variously seen in the wild as “in advertising”, “editor of the D**ly M**l” and – pace Andrij – “in defense for the Cleveland Browns”.

[Frank9755]

I went out to a social last week and for the first time in my life I dreaded being asked what I do for a living.

You could say that you are a fortune teller!

[robgul]

I think we are with Pure Planet - at the moment, at least! 
We'll see what happens when they fall over.

And another one two bite the dust.  Pure Planet and Colorado Energy.

They took our direct debit yesterday just before they rolled over - two days earlier than expected.  I've done photos of the meters and will wait for someone to get in touch...

Stop the DD NOW - and if you (still) have access to any online data for readings/cash etc then screenshot that NOW

[felstedrider]

I think we are with Pure Planet - at the moment, at least! 
We'll see what happens when they fall over.

And another one two bite the dust.  Pure Planet and Colorado Energy.

They took our direct debit yesterday just before they rolled over - two days earlier than expected.  I've done photos of the meters and will wait for someone to get in touch...

I'm afraid this is becoming increasingly common.   I have my theories on what's going on here but posting them on a public forum is not a great strategy.

[mrcharly-YHT]

Info check, please (I guess this is for felstedrider).

(based on reading of news reports)
The UK has very very little gas storage, compared to the EU.
UK gas usage is very low compared to the EU.
UK gas storage is currently nearly full.

Therefore the issues with energy suppliers is purely that they can't afford to pay the wholesale prices.

Why were some factories, such as CO2 producers, asked to cut back on gas use?  Was that purely to maintain the cushion of gas in the limited storage facilities?

[felstedrider]

Info check, please (I guess this is for felstedrider).

(based on reading of news reports)
The UK has very very little gas storage, compared to the EU.
UK gas usage is very low compared to the EU.
UK gas storage is currently nearly full.

Therefore the issues with energy suppliers is purely that they can't afford to pay the wholesale prices.

Why were some factories, such as CO2 producers, asked to cut back on gas use?  Was that purely to maintain the cushion of gas in the limited storage facilities?

Running back a little.   Gas prices high because :-

- Late Spring with cold temps
- European gas storage stayed low and has not been replenished in time for Winter
- Flows from Russia lower than expected
- LNG cargoes going to the Far East as prices are higher there

The UK is suffering as it's at the end of the supply chain and we hardly have any storage.   Flows from the North Sea and Norway are maxed out.   If we get a cold Winter then supply will be short.

All this is a perfect storm and gas prices are now about £2.50/Th which is 5 times higher than previous Winters.   Power generation remains at 40-50% coming from gas so power prices are up as well.

Suppliers are failing as 1) they haven't hedged* and 2) the existing price cap generates annual losses of circa £500 per customer on average usage.   Why bother continuing to run a business that just generates a loss ?   This is actually the tail end of what has been a race to the bottom for supply - there's been no money in it for ages and too many participants.   The high prices have just brought forward what may have happened anyway.

Large consumers have been turning off because prices are high and they can't pass the increased costs onto their customers.   Some of them may be on interruptible contracts which allows Grid to turn them off on days when demand is high.   For some reason these businesses are worth saving but energy suppliers aren't.


*hedging is actually really difficult for domestic suppliers.   Liquidity, shape an collateral being the biggest issues.   Kwarteng's comments about suppliers being irresponsibly run is not entirely correct.

[Kim]

Why were some factories, such as CO2 producers, asked to cut back on gas use?  Was that purely to maintain the cushion of gas in the limited storage facilities?

I thought they were just holding out for lower prices.  If you're a maker of fertiliser^[1], and you've already made enough fertiliser to cover your contracts you might stop making fertiliser for a bit, do some maintenance or something, and wait for the price to come down.


_{[1] Not in the Westminster sense.}

[Frank9755]

I think we are with Pure Planet - at the moment, at least! 
We'll see what happens when they fall over.

And another one two bite the dust.  Pure Planet and Colorado Energy.

They took our direct debit yesterday just before they rolled over - two days earlier than expected.  I've done photos of the meters and will wait for someone to get in touch...

I'm afraid this is becoming increasingly common.   I have my theories on what's going on here but posting them on a public forum is not a great strategy.

I should clarify - turns out that what I said regarding the DD was incorrect.  My wife thought they'd taken it but it was just the notification

[grams]

   For some reason these businesses are worth saving but energy suppliers aren't.

None of the “energy suppliers” who’ve gone had any discernible energy supplying assets, did they?

[felstedrider]

   For some reason these businesses are worth saving but energy suppliers aren't.

None of the “energy suppliers” who’ve gone had any discernible energy supplying assets, did they?

None at all.   The vertical integration model is pretty unfashionable these days although the bigger guys have mostly kept their renewable assets.

[felstedrider]

It seems Pure Planet's demise was hastened by the withdrawal of their trading partner (and minority shareholder).   There are quite a few disgruntled employees posting about this on Linkedin.

Another small one also went yesterday with little fanfare.

There is a slightly bigger issue in that one of the gas specific service providers in the sector also went under 2 days ago.   If you believe the press they looked after 18 independent suppliers.   I suspect this will have a significant knock-on effect and push a few more over in the coming days.

Basically the industry is a shambles.

[fd3]

Also with Pure Planet (until I get allocated a new provider by Ofgem).  I don't really understand this, Pure Planet were 100% renewable electricity providers, so should have been immune to gas price changes for their electricity.  Could they not have just closed their gas provision and continued as an electricity provider?  The £5 (ish) annual dual fuel reduction isn't be all and end all.
The other Dr fd3 has told me that we can't go with octopus as they are refusing any new customers because their prices are too high.  Will have a look about for a new 100% renewable provider (probably end up back with Good Energy, who were more expensive than Pure Planet, but more importantly couldn't send a clear bill to save their lives).

[Ham]

Pure planet don't make their own energy so are as subject to fluctuations as anyone else. You can't buy renewable cheaper than "normal" power in the market place - if you consider that for a second you'll see why.

  Will have a look about for a new 100% renewable provider (probably end up back with Good Energy, who were more expensive than Pure Planet, but more importantly couldn't send a clear bill to save their lives).

Forget it, switching to save is a thing of the past for the immediate future, the price cap you rate you will be put on is cheaper than anything in the market because it is less than cost.

Competition and switching may be useful in the future but for the moment, just suck it up.

[fd3]

Not switching to save, just want a 100% renewable supplier.