The message is lost….

Did anyone see yesterday’s edition of Newsnight?

In truth, I only tuned in for two reasons:

(1) To get the inside track on David Milliband’s subtle allusion to a positive Labour outlook without our belligerent but utterly hapless leader at the helm. Best case scenario in my opinion, I’ve been on Team Milliband for some time.

(2) It filled a gap between Big Brother and Long Way Round.

Effectively, I got what I wanted, but with an extra bonus I hadn’t bargained for.

Who should appear midway through for a grilling on inflation-busting gas and electricity price hikes, but your friend and mine Phil Bentley, Managing Director at British Gas.

Fantastic.

Although presenter Gavin Esler immediately went on the front foot with the question ‘why are you raising your gas prices by 35 percent, when EDF are only raising theirs by 22 percent?’, it became abundantly clear within seconds of Mr. Bentley’s response that public speaking isn’t his forte.

I don’t know if he was caught off guard by the ferocity of Esler’s interrogation, too pre-occupied with damage limitation to answer the questions naturally, or just genuinely lacking insight and understanding, but the responses from Mr. Bentley were consistently unsatisfying.

The one saving grace was an admission from Mr. Bentley that EDF price rises are less severe than those of British Gas because EDF operate more coal-fired, cost efficient power stations. This little factoid was delivered with a somewhat regretful tone.

All in all, I learned very little but a bunch of facts that I and most of the country are familiar with already:

• Britain imports 40% of its gas supply
• The cost of this gas is linked to the cost of crude oil
• Crude oil prices have double over the last 12 months
• Therefore, Centrica must hike prices or operate their gas supply arm at a loss

Amazing, thanks Phil.

 Energy costs are set to rocket….

EDF has become the first of the big six energy suppliers to make this summer’s anticipated gas and electricity price increases.

Gas prices will increase by 22% and electricity by 17% for existing domestic customers from July 25th (today) onwards. The inflation busting price rises have been predictably blamed on rising wholesale costs.

It’s the second round of price increases EDF customers have had to face this year, following January’s 13% increase in gas costs and 8% rise in electricity costs.

However, with industry analysts forecasting increases of up to 60% on energy prices this summer, hopefully the price hikes aren’t going to be as severe as was once expected.

Average annual fuel bills for EDF customers will rise from £1000 to something around the £1200 mark.

For further updates, visit the news desk at EnergyChoices.

Crème with everything….

A bad week for France got worse today as EDF’s chest beating, guns blazing, all action bid for British Energy fell flat at the first hurdle.

The £10 billion bid (the concept of a ‘billion’ was actually conceived by the French way back in the fourteenth century, ironically enough) tabled at the weekend, was rejected outright by the British Energy board for registering too low on the international hard currency scale.

Add in the lacklustre, stuttering showing by the national team in Euro 2008, plus the revelation presidential squeeze Carla Bruni is prone to traffic stopping temper tantrums Naomi Campbell could only dream of throwing, and it’s really not looking good for our Gallic chums right now.

Great cameo by David Ginola in the Ladbrokes TV ad though.

So what are the implications of this rejection for EDF, and where do they stand now?

Well, it’s pretty much put the kibosh on EDF’s plans to speedily hoover up UK sites ripe for new nuclear power plants, a move integral to their stratagem of getting the jump on the other five big energy suppliers in the great nuclear race.

A timely boon for environmentalists and anti-nuclear campaigners no less, but an unwelcome obstacle to those (including government ministers) who foresee an impending energy crisis should these new nuclear plants not be built pronto.

Building nuclear power plants in super fast time; doesn’t that all sound a bit Springfield? By taking more time over the construction of these power plants, maybe the likelihood of something catastrophic happening could be significantly reduced? They’re not the sort of buildings you want to be screwing together in five minutes.

It only takes one French Homer Simpson (Hervé Simpson, naturally) to become momentarily distracted by a tasty looking brioche, and it could be la fin d’histoire for the unfortunate region of the UK in which these stations are placed (probably Bristol if the DTI list of most fancied potential nuclear power plant sites is to be believed).

So who wants a nuclear power station in their back garden? Can I get a quick show of hands please?

Don’t all shout out at once.

 Press the button marked ‘Exploitation’

Today’s post could easily have been named ‘I Love the Germans, Part Drei’, and I mention this because each time that headline gets used, a certain someone in a number 13 shirt tends to do the business for Chelsea. So for the sake of superstition, and Bolton at home, I’ll crowbar it in once more. Let’s face it, we need all the help we can get.

I don’t know how up to speed with the energy switching scene Herr Ballack actually is, but I’m sure he’s (somewhat reluctantly) been subjected to meet and greets with E.ON company bigwigs at this season’s FA Cup fixtures. The 2007/8 English FA Cup is sponsored by E.ON, and will be contested by a team from Wales, and a rudderless gaggle of journeymen from a shack on the south coast.

Having heard on the grapevine fuel prices are set to rise again this summer due to skyrocketing crude oil costs, adverse weather and strike action, it got me wondering; how much does it cost E.ON to sponsor the FA Cup?

Well, here are my findings, with a few extra gems thrown in for good measure:

FA Cup sponsored by E.ON

Cost of Sponsorship: £32 Million

Annual aid payment by E.ON to the elderly: £4.4 Million

2009 Ashes Series sponsored by npower

Cost of Sponsorship: £11 Million

Percentage of vulnerable customers on an npower social tariff: 0.02%

EDF Energy Cup, Rugby Union

Cost of Sponsorship: £8.5 Million

Percentage of annual turnover spent on elderly customers: 0.1%

Scottish and Southern, sponsors of Scottish Rugby

Cost of Sponsorship: £6 Million

Number of customers plunged into fuel poverty by last price rise: 620,000

The statistics speak for themselves and need little interpretation from me. The bottom line is this money frittered away on sponsorship and corporate jollies should be given to those in fuel poverty. End of story.

One question I will ask, does the advertising make the supplier seem more attractive to you? Does it even work?

It doesn’t affect me at all. As much as I love Association Football, I wouldn’t choose E.ON purely on the strength it sponsors the FA Cup; it’s just not part of my criteria.

Has anyone been swayed by a clever advertising campaign?