Articles

8 Questions: rising energy costs and market regulation

PE

We’re well and truly into the frozen months of winter now, and, as the nation reaches for their thermostats, this month’s 8 Questions are about rising energy costs and market regulation.

1. Do you make a conscious effort to reduce your domestic energy use as a response to rising prices?

No:67%;

Yes: 33%

EDF became the first of the “big six” energy suppliers to announce price increases for 2017 earlier this month. Yet it would seem that there is still a disconnect between rising prices and the urge to switch off appliances at home.

2. Have you switched energy provider within the past 12 months to secure a better deal?

No: 67%

Yes: 33%

An accepted failure of the retail energy market is that many consumers do not switch to better deals available from different suppliers. The average for switching is 12%, so engineers show more engagement here than usual, but more than two thirds are still uninterested.

3. Do you think the energy sector offers adequate competition in terms of the number of suppliers available?

Yes: 61%

No: 29%

Don't know: 10%

The government continues to promise that it will act to ensure consumers are getting a fair deal, but the results here suggest that may be unnecessary, with most people believing the level of competition in the market to be sufficient.

4. Have you replaced your loft or cavity wall insulation in the past five years?

Yes: 70% 

No: 30%

Perhaps the more hands-on and longer-term nature of these home improvements mean that PE readers are more likely to have installed insulation than fiddled around with changing who sends them their energy bills. The government estimates that around 70% of homes in the UK are now insulated in their lofts and walls.

5. Have you considered installing a renewable technology such as photovoltaics on your house?

Yes: 55% 

No: 45%

Once you have insulated your loft and walls to minimise energy losses, the next natural step may be generating your own energy. A slender majority of readers have considered this. It would be interesting to explore why so many don’t. Perhaps unsuitability of the technology or a reduction in the feed-in-tariff rates are to blame.

6. Are you happy to pay higher energy bills so that a greater percentage of your supply can come from a low-carbon source?

No: 54%

Yes: 40%

Don't know: 6%

It’s a shame to focus on the negative, but most PE readers say they are unhappy to pay for the clean-up of their energy supply to help stop climate change. Understandably, some of this group say the cost should be borne by the energy generators and suppliers, not the consumers.

7. Have you considered upgrading your heating and lighting controls so they can be remotely controlled?

No: 69%

Yes: 31%

The world is going mad for the Internet of Things, or so we are led to believe. Home automation and controls is one of the first areas to benefit, but most PE readers are yet to be fully sold on the advantages of controlling heating and lights by smartphone over the internet.

8. Do you think that by the end of winter energy prices will, on average, be higher than they are now?

Yes:75%

Don't know: 16%

No: 9%

Should higher energy bills be added to the list of absolute certainties in life? Three quarters of readers think it is given that the average price of gas and electricity will rise this year. Time to check the insulation and buy solar panels, perhaps?

Share:

Read more related articles

Professional Engineering magazine

Professional Engineering newsletter

A weekly round-up of the latest Professional Engineering news, straight into your inbox.

Log in and opt in to receive PE Weekly

Related articles