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<p>The setting of energy tariffs, including the standing charge is a commercial matter for individual energy suppliers. The standing charge is decoupled from energy unit price. It is a flat daily rate that reflects the costs energy suppliers incur to provide a live gas or electricity supply, regardless of a consumer’s usage, and includes, amongst other things, transmission and distribution costs. Under the Energy Price Guarantee, average standing charges for customers on default tariffs remain capped in line with the levels set by Ofgem.</p> |