Energy Choices

Energy Choices

July 24, 2009 05:37 ET

The Energy Price War Gets Hotter: EDF Joins Npower in Taking on British Gas

LONDON, UNITED KINGDOM--(Marketwire - July 24, 2009) - The French energy giant EDF, one of the UK's "big six" electricity suppliers, has re-launched its 'Energy Online v5' deal, making it the UK's cheapest energy supplier for average consumption households.

EDF has undercut British Gas and taken the crown of UK's cheapest energy supplier for average-sized households - but will British Gas hit back?

Chris Eagle, commercial manager at said: "I'm sure consumers will now be expecting an online energy price war, but will British Gas bite back? Maybe we will see the launch of 'Web Saver 4'."

"Whatever happens," continued Eagle, "one thing is certain - now is definitely the right time to compare energy prices and make sure you're on the cheapest tariff for your usage. It may be worth holding fire when it comes to switching however, as another supplier may undercut EDF."

The EDF energy 'Online Energy v5' tariff, which is open to both existing and new EDF customers, is a variable price tariff which may be subject to price changes. EDF guarantees however, that customers will receive a discount of at least 2% off EDF's standard tariff until the end of July 2010. The tariff has no early exit fees if you want to switch energy suppliers again.

The tariff is only available in 10 of the 14 distribution areas around the UK. In the remaining four areas British Gas 'Web Saver 3' is still the cheapest tariff for average users. The areas are London, South Wales, South West and the South East.

The move has come just days after "big six" rival Npower launched two new online tariffs - 'Sign Online 16' and 'Web 16'. These tariffs are still the cheapest for "low" and "high" consumption households respectively.

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