16th Feb 2005 14:15
Scottish & Southern Energy PLC16 February 2005 SSE INFORMS CUSTOMERS OF ELECTRICITY AND GAS PRICE CHANGES Scottish and Southern Energy has begun informing its domestic electricity andgas customers that its prices for energy will rise, either from 1 March 2005 or,for around 550,000 customers, from 1 July 2005. Across Great Britain, theaverage price rise for electricity customers will be 6.7% (3.7% in the north ofScotland) and the price rise for gas customers will be 9.1%. SSE will hold its electricity prices at their revised level until at leastJanuary 2006 and will seek to do the same with gas prices. The position with gasprices is, however, dependent on trends in the wholesale gas market. The increases for around 550,000 SSE customers who use pre-payment meters or areon the 'BudgetWarmth' and 'easywarm' tariffs will be delayed until 1 July 2005.They will also not apply to customers who signed up with SSE after 1 January2005 or who sign up before 1 April 2005. Prices for these customers will remainat current levels until at least 1 July 2005. The company last announced a change in domestic energy prices in June 2004 andwhile all the other major energy supply companies raised their prices two orthree times during 2004, SSE made just one increase. As part of a package of changes, SSE is extending to all customers its promptpayment discount of 3.5%, currently only available to around 50% of itscustomers. This means that they can reduce the price rise by 3.5% if they chooseto pay promptly. SSE's customers obtain a 6% discount on their unit charges for energy if theypay by direct debit. The company also offers 'tailor-made' payment arrangementsto help customers in need, with around 200,000 households taking advantage ofthese arrangements during 2004. Between 2005 and 2008 SSE expects to help around 250,000 'priority' householdsto lower their energy bills through the provision of free energy efficiencymeasures such as loft and cavity wall insulation. Its customers can obtain freeenergy efficiency advice by calling the company's 'energyline' on 0845 777 6633. In addition, SSE has appointed a new Head of Priority Services with a brief toassemble a new package of measures to help the most vulnerable customers,including a special tariff designed to meet their needs. Details of this packagewill be set out at the Amicus conference on 1 March and the package itself willbe made available later this year. In the meantime, customers who are over 60,who have disabilities or who suffer from long-term ill health can receive freeservices by registering with SSE's 'Careline' free on 0800 622 838. To date,almost 200,000 electricity and gas customers are on this register. Ian Marchant, Chief Executive of SSE, said: "In line with our policy of adoptinga responsible approach to pricing, we gave a commitment last summer to holddomestic energy prices at their current levels until at least early 2005. Sincethat commitment was made, every other energy supplier has increased prices - insome cases, twice. "The impact of high wholesale energy prices can, however, only be absorbed forso long, and now is the point at which we have to increase prices. Nevertheless,I am pleased that we have been able to delay to July the increase for around550,000 customers. "Longer term, we will continue to adopt a measured and responsible approach todomestic energy pricing, while giving renewed focus to helping especiallyvulnerable customers. That's why we have given a commitment to hold electricityprices at their revised levels until at least January 2006." Enquires to: Alan Young, Director of Corporate Communications 0870 900 0410Denis Kerby, Investor and Media Relations Manager 0870 900 0410 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
SSE