The price of energy will skyrocket again in October, Ofgem has warned. Last week it was announced that the energy price cap will rise to £3,549 per year on October 1, for those who choose to pay via direct debit on a default tariff.
This will put pressure on families and households who are already struggling to deal with the ongoing cost-of-living crisis. The cap is currently set at £1,971, meaning the increase is a huge 80 per cent.
To help keep bills down and ensure families are using their appliances the right way, the Mirror has debunked ten common myths about energy usage.
1. "The price cap is how much my bills for the year will cost."
Wrong - the price cap isn't a total cap on your bill. Instead, it's a limit on the rates that your supplier can charge for the energy you use - meaning if you use more gas and electricity, you'll end up paying more.
The price cap also sets a maximum rate for the daily standing charge, which is what you pay to have your home connected to the grid. Depending on how you pay, there are different price caps as well.
The price cap for customers on a default tariff who pay by direct debit is currently set at £1,971 per year, but is rising to £3,549 in October. For those paying by prepayment meter - usually vulnerable households or those struggling to pay their bills - there is an even bigger jump from £2,017 per year to £3,608.
Standard credit customers - so where you pay once you've received your bill - will see their price cap rise from £2,100 per year to £3,764. These figures are representative of a household with typical energy use.
2. "The dishwasher is the most expensive way to wash dishes."
It's unknown whether this is true or not. According to energy experts at Uswitch, there is "no absolute proof" as to whether hand-washing your dishes or using a dishwasher is more energy-efficient.
It depends on how energy-efficient your dishwasher is, how full it is and what setting it's on. In terms of washing up, it can cost a lot more if you don't have a bowl to minimise water waste and you don't pre-soak.
Uswitch suggests you should just be economical in whatever method you decide to use. So for a dishwasher, you'd always want to use an eco setting, wait for it to be full and never waste water by pre-soaking.
If washing by hand, then you would want to presoak - and you'd always want to use a bowl to avoid wasting water.
3. "Overfilling the kettle doesn't waste money."
Wrong - Uswitch is urging people to only use the exact amount of water you need. Most kettles have a scale on the side, meaning you can clearly see the amount of water you're putting in.
The price comparison website even suggests that not overfilling your kettle could save you up to £11 per year in your energy bills.
4. "Appliances don't cost anything when they're on standby."
When an appliance is on standby, even if it's not being used, it still uses energy as it's receiving power from an electrical socket. For example, when it comes to your television, leaving it on standby means it is still drawing power so it can respond to signals from the remote control.
Make sure to always turn your devices off at the wall to avoid excess energy use, and it could save you up to £55 per year.
5. "Turning up the thermostat heats up my house faster."
This isn't true - turning up your thermostat won't have any impact on how quickly your home gets warm. For example, if you set your thermostat to 20 degrees, the heating will run until the room reaches that temperature.
If you turn the thermostat up to 25 degrees to try and heat the room up more quickly, the boiler will still work at full blast and take the same time to get to 20 degrees. It'll then keep working until the room reaches 25 degrees.
6. "Keeping the heating on low all day saves money."
This is another one that isn't totally clear. Most energy experts say that depending on how well insulated your home is, you won't need as much energy to heat it up.
Uswitch previously told The Mirror that the greater the heat loss from your home, the more energy you will need to maintain the inside temperature. Judging by that, it's wisest to only use the heating when it's needed.
However, some specialists who've previously spoken to MoneySavingExpert have argued the opposite - and say you should keep the heating on low all the time.
According to them, the condensation starts to build within the walls whenever the heating is turned off. This can then conduct heat outside the home, which could mean you lose heat more quickly in the long-run.
7. "Insulating my home is too expensive."
Insulating your house doesn't have to be pricey, as there are many cost-effective ways to do so. For example, you can make your own draught excluder for free by stuffing a jumper with socks and placing it along any draughty doorways.
For old floorboards, any cheap rug will stop the cold air from entering the room. The Mirror also recently reported on how using £3 draught-proofing tape could save you £133.
For those good at DIY, you could also try insulating your loft yourself - rolls of insulation start from around £25 from B&Q.
8. "Smart meters won't actually save me any money."
When used on their own, this is true. But the idea of a smart meter is so you can track your energy consumption by looking at its real-time data.
This means you can see how much you're using, and where you can cut back. Smart meters also ensure accurate billing, meaning you're more likely to be charged for exactly what you've used.
9. "It's cheaper to use appliances at night."
Depending on which tariff you're on, this isn't always true. Some energy providers charge less for using electricity at certain times of the day, usually at night. These are called "time-of-use" tariffs.
Off-peak hours tend to be quieter periods when power demand is at its lowest, for example between 10pm and 8am.
10. "Using the oven is the cheapest way to cook."
According to a recent survey by energy provider Utilita and budget supermarket Iceland, the microwave is actually the cheapest way to cook. The research was based on the energy consumption of 83 appliances across 24 sources.
But if you don't have a microwave, there are other ways to cut down. For example, batch-cooking food could save you cash as you're only heating up the oven once, while using the right sized pan, with a lid, can also help your energy consumption.
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2022-09-03 09:29:57Z
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