There are lots of different deals available to suit different domestic



consumption habits, so you can pick and choose the package that offers

you the best value for money. For example, people who don't use much

energy ? perhaps individuals living alone ? may find it cheaper to opt

for a package with no standing charge (which charges a higher price per

unit). Often money can be saved by taking both gas and electricity from

the same supplier (often referred to as ?dual fuel? supply).

Alternatively, some companies offer deals such as fixed or capped rates

for a specified period, just like mortgage rates. As the energy

market is prone to price fluctuations, this could save you money. A fixed rate

is one that stays the same no matter what the price increases are, so

if there is a price rise above your agreed fixed rate you'll save

money, but on the other hand if the price of energy drops below your

fixed rate you'll lose out. A capped rate is one that may fluctuate but

will not go above a certain price.

If you've never changed supplier, you're likely to benefit from a

significant saving on your first switch. However, don't just stick to

the same supplier once you've made the move. They all change their

deals frequently so by shopping around every so often you can ensure

that you're always getting the best deal. It's so easy to switch that

saving money on energy is really no hassle.

To switch, simply look around for a better deal. There are some helpful

and informative websites that allow you to compare the latest deals

from a variety of suppliers and can take care of the switch on your

behalf, often without a fee ? such as www.uswitch.com or

www.simplyswitch.com. If you're doing it yourself, just contact your

chosen new supplier and your current supplier to inform them and give

them your meter readings, and you'll receive your final bill from your

current supplier. If you have a direct debit with your current

supplier, remember to cancel it after you have settled the final bill.

Most suppliers require you to give at least 28 days? notice of

cancellation, but very few will charge a cancellation fee (unless, for

example, you have signed up for a fixed or capped rate package and are

pulling out before the end of the specified period). If you're in debt

to your current supplier, you'll need to clear any outstanding bills

before you'll be able to change. The change will be seamless ? there

will be no interruption in your supply as the same infrastructure

(pipes, meters, wires, etc) is used. You'll simply receive a final bill

from your current supplier, followed in the next bill period by a bill

from your new supplier.

Money-saving isn't the only reason for switching, though. Many people

change supplier for better customer service, or for environmental

reasons.

Some energy companies use renewable sources of energy such as wind

farms or hydroelectric power, and some have schemes in which your bill

contributes towards the funding of environmental projects such as the

planting of trees. Energy generated from renewable sources isn't

currently available in all parts of the country (only about 4% of the

National Grid's energy supply comes from green sources), so you may not

be able to go completely green with your energy supply. However,

alternative packages are available in which you receive your energy

supply from conventional sources but your energy supplier agrees to

contribute a certain amount of energy made from renewable sources to

the National Grid on your behalf depending on your consumption.

Getting the cheapest deal isn't the only way to save money though. You

can cut down your energy use and do your bit for the environment at the

same time by making your house more fuel-efficient. Insufficient

insulation is where most houses lose energy unnecessarily. Check that

your loft is well insulated, to a depth of at least 250 mm. If you have

cavity walls, have them insulated too, as well as your pipes and hot

water tank. And seal any nooks and crannies such as gaps in draughty

windows, doors, floorboards and letterboxes.

Changing your habits at home can also make a big difference. Keep doors

and windows closed to retain the heat. Switch off the lights when you

leave a room. Don't leave electrical equipment such as TVs or hi-fis on

standby when not in use ? switch them off fully. Boil just as much

water as you need to in the kettle. Only put on the washing machine or

dishwasher when you have a full load. Have your curtains lined and keep

them drawn at night. Even wear a cosy jumper around the house during

the winter!

Changing your supplier should be straightforward and hassle-free. If

you have any problems, though, or if you have a complaint that you have

not managed to resolve with your supplier directly, then contact

Energywatch (www.energywatch.org.uk), the independent energy watchdog

representing consumers, or OFGEM (www.ofgem.gov.uk), the government

regulatory body that was set up when the market was deregulated in 1999

to ensure that energy companies are run fairly and effectively and that

consumers get the best value for money in a competitive market.