No Standing Charge Tariffs

No standing charge tariffs do not apply a daily charge for supplying gas and electricity. This is ideal for certain types of users as it means you will only pay for the energy you use. 

Some businesses are better suited to energy tariffs with no standing charge. The standing charge placed on your energy use can significantly impact your total bill. Find out all about standing charges and low unit rate energy deals in this article and discover whether switching to one of these options could be a good move for your company.

What Is a Standing Charge?

A standing charge is a fixed daily fee that your business energy supplier charges for keeping your premises connected to the gas and electricity network. You pay this fixed fee regardless of the amount of energy you use. Standard charges cover the costs that energy suppliers incur for providing energy to your company, these can differ depending on the supplier, region and tariff. Standing charges currently range between 25p to 160p per day, with the areas of North Wales, Merseyside & Cheshire having the highest daily fee of approximately 98.1p.

In most cases, standing charge fees help to pay for the following:

• Network maintenance
• Meter readings and other admin costs
• The cost of transporting energy
• Balancing energy across the grid
• Maintenance of your connection
• Contributing to government initiatives

No Standing Charge Tariffs for Businesses 

At the time of writing, Valda Energy is offering tariffs with zero standing charges. 

Some energy suppliers offer no standing charge tariffs where zero fees are charged daily for the supply of your business energy. This means that you’ll only have to pay for the energy that you use – so no energy use for a set period could mean that you have nothing to pay. This is the main benefit of no-standing-charge deals. 

Energy tariffs with zero standing charge usually come with higher unit rates for gas and electricity, so bear this in mind when considering whether this option is right for your business. No standing charge tariffs are typically best suited to companies that operate seasonally or only on weekends, as no daily charge will be applied during periods of zero energy use.

Businesses that remain open may not be best suited to no standing charge tariffs as the higher unit rates are likely to cause costly bills.

Compare No Standing Charge Tariffs Today!