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kiwibob1

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#129559 19-Sep-2013 14:29
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We've recently changed to Powershop (from Mercury after looking at Powerswitch) and for the first month pretty much everything worked as I expected. Per unit rates for both properties were in the mid 20-30¢ range which was competitive with Mercury. 

We are retired so we are able to go to the bach for sustained periods, in fact we spend much more time during the summer at the bach than we do at our main residence. Our annual consumption for the past year at the bach was a healthy 7000kwh and over 9000kwh at our main residence. So not low users then (despite my best efforts).

During this first period however we haven't been out to the bach so the power consumption has been (for us) pretty low (about 7kwh per day) so come the first Powershop review the rates for the bach have jumped to 44¢ and more for future periods.

Clearly as soon as we spend some time at the bach the consumption there will go up and we will pay these high rates per unit until we establish a higher demand pattern at which point future rates will drop - just in time for us to leave and experience higher rates at home where demand has been low. 

The Powershop model seems to be based on a stable consumption model i.e. predicting future demand from very recent past history. It seems to me we will have difficulty working with this.

Perhaps if the demand for the two premises were aggregated or the rolling average were for a much longer period it might work or am I missing something?  

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timmmay
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  #898511 19-Sep-2013 14:44
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Perhaps you should just change back to Mercury. I never saw the attraction of actively managing a commodity utility.



JonnyCam
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  #898515 19-Sep-2013 14:52
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It's because they are charging all of your fixed daily charges across the unit rate based on your usage.

They can't aggregate it together because they are still paying 2 sets of fixed charges to have the electricity supply to your home & bach (metering, meter readers, local network & transpower costs)


As you are using very little at the bach currently, you have to more per unit used to cover the fixed charges for that day.

Unfortunately, that is the way it is - you wither pay a high per unit rate, or go back to paying a fixed daily charge with a standard retailer.
You will need to work our which is going to be cheaper for you in the long run.






kiwibob1

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  #898544 19-Sep-2013 15:29
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JonnyCam:They can't aggregate it together because they are still paying 2 sets of fixed charges to have the electricity supply to your home & bach (metering, meter readers, local network & transpower costs)
You will need to work our which is going to be cheaper for you in the long run.


I'd have hope that it would be quite simple to add the two lots of fixed charges together and then divide by the kwh? Either that or threat the two properties separately but run the average over a longer period? Perhaps not.

Anyway working out which is going to be cheaper is a pretty hard task, no wonder Powerswitch got it wrong.

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