Standing charges: domestic retail options

Call for input
  • Open
  • Closed
Publication date
Closed date
Industry sector
Supply and Retail Market
Licence type
Electricity Supply Licence
Gas Supplier Licence

Related links

Standing charges – call for input

Who should respond 

We would like views from energy suppliers, consumer groups and household bill payers. We would also like to hear from industry groups and network companies.

Background

Last year we started a review of standing charges. Our call for input had feedback from over 30,000 customers, consumer groups, charities and others.

We have now reviewed the feedback and have set out our options to reduce standing charges for households, called ‘domestic standing charges’.

This options paper talks about reducing domestic standing charges by moving some charges to the unit rate. It also considers options to increase consumer choice by increasing the range of standing charges offered by suppliers.

The paper also outlines what we will consider as part of a broader review of how network costs are recovered from users.

We think that there is an overall benefit from the changes discussed in this paper, but some consumers’ bills would increase. We are working together with government on how the impact on households in the domestic retail market could be reduced.

Standing charges are set by your energy supplier and are also included in the energy price cap. Your supplier will charge you this cost each day, even if you do not use any energy on that day. The charge covers the cost to maintain the energy supply network, take meter readings, and support government social and environmental schemes. You can find information to help understand your electricity and gas bill. 

Why your views matter

The options paper continues the discussion we started last year about standing charges. We want to hear your views on the options given but would also like to hear any other feedback that may not be covered. 

How to respond

This discussion closed on 20 September 2024. You can still read our standing charges options paper.