28th Feb 2007 11:03
Scottish & Southern Energy PLC28 February 2007 ENERGY PRICES TO FALL STARTING FROM 1 MARCH 2007 Scottish and Southern Energy plc ("SSE"), currently the UK's cheapest supplierof energy*, has decided to implement cuts in prices for domestic customers,starting from tomorrow (1 March)**. It will: •cut the average annual gas bill* by £72, to £534, a decrease of 12%, starting from 1 March; •cut the average annual electricity bill* by £18, to £355, a decrease of 5%, starting from 1 April; and •cut the average annual dual fuel* bill* by £89, to £873, a decrease of 9%. Average annual dual fuel bill following all forthcoming price changes* Energy Supplier £ per annum inc VAT % Difference Scottish and Southern 873 -Npower 909 +4.1%EON UK (Powergen) 913 +4.6%British Gas 953 +9.1%EDF Energy 971 +11.2%Scottish Power 990 +13.4% This means SSE will continue to be the UK's cheapest supplier of energy, evenafter all the recently-announced price cuts take effect.* SSE will waive any termination fees which may apply to any of its customers whoare on its fixed price tariffs to enable them to take advantage of its new,lower prices without any penalty, if they wish. SSE supplies energy as Southern Electric, SWALEC, Scottish Hydro Electric andAtlantic and is the UK's third largest supplier of energy, with over 7.5 millioncustomers. During periods of rising wholesale energy prices, SSE passed on to its customersmuch less than the full extent of the increases and it delayed any price risesfor as long as possible. As a result, its customers have now paid an average of£340* less for their gas and electricity in the last three years than havecustomers of British Gas. SSE announced on 31 January that it had written to its customers to confirm thatit would cut gas and electricity prices within the next few months. Alistair Phillips-Davies, Energy Supply Director of SSE, said: "While wholesale energy prices were rising in recent years, we protected ourcustomers from the worst impacts of the increases, with the result that we havebeen the UK's cheapest supplier of energy for most of that period. "Since last September, we have made clear our intention to cut gas andelectricity prices if there was a sustained fall in wholesale prices which wouldallow us to do so, and so I am very pleased that we have now been able to makethis announcement. It means we are able to start cutting prices immediately. "Energy prices are driven by a number of factors and future trends in wholesalegas and electricity prices are always difficult to predict. Nevertheless, I hopethat today's announcement marks the start of a sustained downward trend in theprices paid by customers." *Based on the average standard quarterly payment across Great Britain and onannual consumption of 20,500kWh of gas and 3,300kWh of electricity. Pricesinclude VAT but exclude Early Payment Discount of 4.3% which SSE offers tocustomers who pay their bills quarterly. SSE is one of just two energy suppliersto offer such a discount. *\* The lower prices will be applied to gas usage on billing periods that commenceon or after tomorrow (1 March). For electricity, the lower prices will beapplied to usage on billing periods that start on or after 1 April. Enquiries to: Scottish and Southern Energy plcJustyn Smith - Head of Media Relations + 44 (0)870 900 0410Sharron Miller-Mckenzie - Press Office Manager + 44 (0)870 900 0410 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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