Energy Bills Rise Again

[10ClarionSt]

I just feel that the increases are merely to help these companies to maintain their insulting, obscene profits and not to help with increased costs. I can't understand, don't understand, where Ofgem are. I can only assume that the people at Ofgem are shareholders in the energy companies. The govt is also condoning these prices rises. Saying that they will help people with their bills, is an endorsement of the rises. The govt should be preventing them, not offering a sop, because that's all it is. My only source of income is a state pension and a small private pension. That's it. If energy costs reach predicted levels, then half of my income will be going on energy bills. But it's ok folks because the energy companies, Ofgem and the govt know that old farts like me and thee won't be around much longer so why should they give a fig about us? But hey, if you think the rises are ok, then enjoy the fruits of your shares in the energy companies. And if you DO think the rises are ok, then you cannot be affected by them, or you can easily afford them. Got pots of money. Other than that, everything's fine thanks. :o)

[Redhelen72]

I don't think I have ever seen anyone say the energy price rises are OK.

[KUSTARD]

I totally agree 10CS. I also have only the state pension but a small amount of savings which I expected to use for little luxuries in my old age. I guess energy bills will be the luxuries now!!!!

[barry1010]

Martin Lewis said yesterday that every energy company is losing money from domestic bills. The profits some of the big companies make (not all) is from commercial trading of oil on the worldwide market. Ofgem has no control whatsoever over that.
Some smaller energy providers are simply re-sellers and that is why so many went bust.

[barry1010]

I forgot to say they are losing money on domestic bills because of the price cap imposed on them.

[weecalf]

Why have ofgem lifted its cap to who ever it is ?Im wondering

[Gromit]

This chart shows the Wholesale price of gas on the UK market

https://www.catalyst-commercial.co.uk/wp-content/uploads/2022/08/Wholesale-Gas-Price-Chart-Win22-26.08.22-1024x587.jpg

In winter over 70% of our electricity will be generated by burning gas.

[10ClarionSt]

Thanks barry but I still don't get it. They are making billions. That's what I see. They are energy companies making obscene and insulting profits. To expect any sympathy or even understanding, when these figures are announced to people who can barely afford to pay for energy, is just insulting in my opinion. If the trade in oil is a big earner for them, then put some of those profits back into the energy part of the company. Wot? It's not that simple? It never is.

[Gromit]

Look at the graph.
The wholesale price per therm this time last year was about 60p. The cost now is over 750p.
The energy provider you use has to buy gas to generate electricity, so their costs have risen steeply.
The people making vast profits are the ones extracting it from the ground - Gazprom, Shell, BP, not the people sending you a bill.

[FatticusInch]

10ClarionSt,
Someone will be along shortly to tell you that you don’t understand business, you should have bought stocks and shares in these companies, the CEO’s do a damn fine job, are worth the millions they’re paid and that it’s not their fault that they were financially astute.

[Gromit]

This is the fuel from which your electricity is currently being generated now.

https://www.energydashboard.co.uk/live

The big blue segment is expensive gas.

[ToraToraTora]

Yes 10cs it's a capitalist conspiracy, we are all coining it in, mwah ha ha ha! (evil laugh)

[Gromit]

Last year (2021) BP’s profits doubled to $59Billion.
This year they on target to more than double again. The last quarter of results had tripled!!!

[Gromit]

A British company doing well, we should be happy.
23% of BP shares are owned by these 10 companies.

BlackRock (New York) 5.9%
Legal & General (United Kingdom) 4%
Barclays Global Investor (owned by BlackRock) 3.8%
Norges Bank Investment Management (Norway) 1.8%
Kuwait Investment Authority (manages funds for the Kuwaiti Government) 1.75%
M & G Investment Management (UK asset owned by the Prudential) 1.67%
Standard Life (Scottish insurance company) 1.5%
Capital Research & Management Company (Los Angeles) 1.3%
China’s State Administration of Foreign Exchange 1.1%

Too many sites fail to mention who owns a whopping 28.34% of BP—more than the other 9 out of the top 10 together. That would be Wall Street’s JPMorgan Chase.

[FatticusInch]

ToraToraTora
//Yes 10cs it's a capitalist conspiracy, we are all coining it in, mwah ha ha ha! (evil laugh)//

Well, some like to certainly portray that image but as someone once said:

Boasting and gloating
just confirms that you need appreciation from others.

[andy-hughes]

10ClarionSt - // They are energy companies making obscene and insulting profits. //

Why are the profits 'obscene and insulting'?

Businesses are in business to make profits, the bigger the better, it's simply what they do, there is nothing 'obscene and insulting' about it.

Where the obscenity lies is in the fact that an essential resource is in the hands of private companies who exists entirely to generate profit for shareholders, when all essential resources, starting with energy, should be owned and run by the government without profit, providing an essential service, which is what they have always been, and always will be.

We can blame Thatcher and her greed-based culture for the mess we are in, and the current government should re-nationalise all essential utilities immediately.

[naomi24]

//the current government should re-nationalise all essential utilities immediately. //

Have you costed that proposal?

[Zacs-Master]

Do you at least now understand 'where OFGEM are', as explained by barry at 08:46, 10cs?

[ToraToraTora]

AH: "We can blame Thatcher and her greed-based culture for the mess we are in, and the current government should re-nationalise all essential utilities immediately. " - I don't agree with your assessment of TGL's philosophy, she simply encouraged work hard support yourself and better yourself where possible. However for what it's worth I do agree that the utilities should be public owned and run but not like the disaster they were last time.

[bobbinwales]

BP are making profits but whys that relevant....and yes centrica made a profit but on other thing... British gas EDF etc are losing money... there losing loads on me as I did a 2 year fix 15 months ago. Loads went bust. It's wholesale prices that's the problem.... the price cap is linked to that. Where there are big profits there's the windfall tax so that gets some back

[Bazile]

Qu'ils mangent de la brioche !

If you can even afford that