These are costs that the electricity industry incurs in delivering your energy. They include the following charges
- Standing charges (below)
- Availability charges
- Reactive Power Charge (kVAR)
- MOP and DC/DA charges
- RO (below)
- CFD charges
Renewables obligation (ro)
Renewables Obligation, or RO, is Government incentivised distribution of large-scale renewable electricity generation.
The RO makes it mandatory for all UK electricity suppliers to provide electricity to businesses from renewable sources or pay a penalty.
The scheme is administered by Ofgem who issues Renewables Obligation Certificates, or ROCs, to renewable electricity generators for every megawatt hour (MWh) of eligible renewable electricity they generate.
Generators sell their ROCs to suppliers or traders which allows them to receive a premium in addition to the wholesale electricity price.
What are standing charges?
Standing charges apply to a fixed cost paid in addition to usage charges for gas and electricity. Standing charges cover costs like:
- meter reading
- connection to the energy network
- gas emergency services.
Supply offtake quantity (soq)
The Supply Offtake Quantity, or SOQ, is the maximum daily consumption for a supply point, measured in kWh.
Supply point (sp)
A Supply Point, or SP, is group of one or more meters for which National Grid shall make Natural Gas available for the gas shipper.
Supply point aq
This is the total yearly consumption of all meters on a site.