New online energy plan in focus

28 September 2007

A UK energy supplier has launched a new online energy plan in a bid to pick up new customers online.

The unveiling of Powergen's Energy Online Extra Saver (Version 3) deal follows a similar move by npower in the summer to make energy bills more competitive for online switchers.

However, Tim Wolfenden, Head of Home Service at uSwitch.com remains sceptical as to whether this new deal represents good value for money for all households across the UK.

"Powergen's new online plan is a bid to tempt new online switchers in certain regions in the UK rather than an outright bid to offer the cheapest online rate in the market," he remarked.

"Again this shows that consumers can no longer expect across-the-board price cuts, as suppliers are focusing on strategic regional pricing instead."

He urged customers to check out all the options available to them before jumping straight in to new deals.

"Powergen will be discounting this new online plan in some regions by up to 5% so there is clearly now more emphasis on the consumer to compare all tariffs available to find out if this one, in particular, will be best for them," he added.

The news comes as the government announced plans to phase out traditional high-energy light bulbs from shops within the next few months, in a move to reduce energy wastage.

The UK's Environment Secretary, Hilary Benn, said the proposal would help to save the equivalent of five million tonnes of CO2 a year by replacing standard lightbulbs with their energy efficient counterparts.