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Is It Legal For Static Caravan Owners Be Charged A Standing Charge

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Can anyone tell me if it is legal to charge 32p per day 365 days a year on top of using electric

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Yes I understand it is.

 

If they use a meter then that is what you should pay.

 

But to be honest I would have to look into this some more as it was a long time ago when I was asked the same question

 

Does some one know the rules on club sites and meter. I think the problem is they can not get there costs back by adding it to the electric bill.

 

James

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get a tourer it is cheaper to run

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I've never heard of anything like 32p per day in addition to the metered charge. I've had a static 'van for about twelve years and have only ever paid annual rent plus metered electric bill. Also, static parks shouldn't be open 365 days a year, this means that they would be residential parks, and a different set of rules would come into effect.

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Can anyone tell me if it is legal to charge 32p per day 365 days a year on top of using electric

Nope unless the regulations have changed recently. The standing charge is actually the payment for the distribution company, the MOP, the meter etc so they should not be charging it. This can be confirmed by contacting Ofgem. I worked in the industry for quite a number of years.

Generally a caravan park with statics with have one single half hourly supply or perhaps one 3 phase supply to supply the whole park. They will be charged a single standing charge for this supply even if they have 50 meters. it is possible that this standing charge could be divided amongst all the tenants.

From memory this standing charge would be at the most about £3-4 per day or £0. 10p per day for 40 tenants however it is highly unlikely for the SC on a caravan park to be over £2 per day.

This may be of interest. http://www. nacoservices. com/pdfs/Electricity%20Resale. pdf

 

Also here http://www. ofgem. gov. uk/domestic-consumers/Documents1/11782-resaleupdateoct05. pdf

Edited by Surf01

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I have read that it is illegal to make profit by reselling electricity.

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We own a static caravan and electricity is metered. We receive annual bills for usage. Our recent  bill for usage was £13.70 but the site owner is asking for an extra £35 for annual service charge plus £84.00 for “Energy Consumption Settlement & Agent Charges-Administration”. VAT is also added, resulting in a grand total of £139.33 for 12 months electricity for usage costing £13.70. This sounds extortionate to me, can this be right? What does it all mean?

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1 hour ago, Jean Allen said:

We own a static caravan and electricity is metered. We receive annual bills for usage. Our recent  bill for usage was £13.70 but the site owner is asking for an extra £35 for annual service charge plus £84.00 for “Energy Consumption Settlement & Agent Charges-Administration”. VAT is also added, resulting in a grand total of £139.33 for 12 months electricity for usage costing £13.70. This sounds extortionate to me, can this be right? What does it all mean?

It means that they can rip you off with no come back!

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The problem is YOU are located on THEIR land.

 

Its their bat, their ball, their playground, and (clearly) their rules. 

 

All of the above charges were, I am sure, detailed in the paperwork you signed prior to siting/purchasing/occupying your static. I am assuming therefore that you either didn’t read, or didn’t understand, all of the paperwork.  Sorry but as I see it “they” have you by the short and curlies! 

 

Are you sure that the additional costs are not for something like maintenance of the site you are on, rather than “extra” costs for the electricity?

I would point out that house owners have to pay a “standing charge” of some description in respect of their gas and electric meters regardless of how much energy they actually use. That charge is in addition to the cost of the energy used. 

 

Andy

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5 minutes ago, Mr Plodd said:

I would point out that house owners have to pay a “standing charge” of some description in respect of their gas and electric meters regardless of how much energy they actually use. That charge is in addition to the cost of the energy used. 

Broadly true as when no standing charge there is an increased rate for the first 'so many' units

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Just now, Easy T said:

Broadly true as when no standing charge there is an increased rate for the first 'so many' units

 

Same thing, different name but the principle is the same. 

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Try the CAB for some advice. But have a shufti at this https://www.ofgem.gov.uk/ofgem-publications/74486/11782-resaleupdateoct05pdf and you should be able to work out how the charges are be apportioned. He can't sell the leccy that he buys for more than he buys it for but he can charge other costs

 

Bear in mind though that the site owner has to pay to provide the electricity infrastructure around the site and to have it regularly tested and inspected to a level that's a lot more onerous than the average householder

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Most static sites would have only one meter managed by the supply company.  All the individual privately owned sub meters would normally be fitted by a contractor with owner bearing cost therefore there is only one standing charge for the whole site. 

Static sites normally have three phase electric supply or is some cases HH metering however still only one standing charge for the whole site. 

The owner is liable for maintenance of the sub meters, but is under no obligation to have these sub meters checked or serviced annually.  However the main meter should be checked annually by a meter operator.

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5 hours ago, Jean Allen said:

We own a static caravan and electricity is metered. We receive annual bills for usage. Our recent  bill for usage was £13.70 but the site owner is asking for an extra £35 for annual service charge plus £84.00 for “Energy Consumption Settlement & Agent Charges-Administration”. VAT is also added, resulting in a grand total of £139.33 for 12 months electricity for usage costing £13.70. This sounds extortionate to me, can this be right? What does it all mean?

 

Ofgem appear to say that if the site owner owns the metering infrastructure on his side of his supply meter then he can charge whatever he wants for the operation and maintenance of that infrastructure.  He may not resell for more than he pays his electricity supplier for electricity or the standing charge though.
 

From Ofgem’s website

68D391C1-7B50-42A6-948F-631664B97614.thumb.png.85879c0893ee3106bfaad12756dab7f9.png
 

 

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