Company Overview
In 1990 a company called Powergen emerged from the Central Electricity Board, when the industry became privatised. They then became an integrated energy company – producing, distributing and selling gas and electricity. In 1998 they continued their growth by buying East Midlands Electricity. Over the next four years they spread their operations around the world, running power stations and purchasing LG&E Kentucky, USA. In 2002 international energy company, E.ON, bought them and today their business has become extremely diverse. E.ON is now one of the UK’s leading power and gas companies, supplying over 5 million domestic and commercial customers. It’s also the largest investor-owned power and gas company in the world.
Commitment to Renewable Energy
E.ON has been involved in wind energy since 1992, owning and operating 21 wind farms across the UK, including the largest offshore win farm, the London Array. They’ve also built one of the UK’s largest biomass power stations at Lockerbie and are in the process of testing a wave power device off Orkney.
E.ON aims to help customers become energy fit by encouraging them to insulate their homes, moderate their energy use and generate their own power by installing microgeneration systems like ground source heat pumps and solar panels – reducing their energy use and bills.
E.ON meets the requirements of the Microgeneration Certification Scheme (MCS) and has been assessed to MCS001: Issue 1.4 for the supply, design, installation, set to work, commission and handover for the following technologies and standards:
• Solar heating systems to MIS3001:Issue 1.5
• Solar Photovoltaic systems to MIS3002:Issue 1.5
• Micro and small wind systems to MIS3003:Issue 1.5
• Heat pump systems to MIS3005:Issue 1.5
• Micro-Cogeneration Systems to MIS3007 Issue 1.0
These accreditations are important because customers who use MCS accredited installers will able to gain access to, and financially benefit from, the government’s Feed In Tariff scheme. Customers also have the added assurance that products and installers continue to meet robust standards.
E.ON Solar Panels
E.ON is currently running an offer called SolarExchange, whereby they will install solar panels to customers with suitable homes for a one-off payment of £99, providing customers with a typical saving of £100 to £180 per year on their electricity bills.
Case Study and Comparison Showing Before and After Benefits of SolarExchange
The homeowners in this case study own a 3 bedroom house in the Sheffield area and are existing E.ON customers. Their household uses an estimated 3,300 kWh of electricity per annum which would normally cost them £515.95 but they opted for E.ON’s Fixed Price 5 Plan which fixes the price until July 2013 and gives them a discount of £30.95 reducing the yearly payment to £485.
They heard about E.ON’s SolarExchange deal to install solar system worth thousands of pounds for a £99 administration charge and decided to see if their home qualified for the offer. They completed the online application form, as accurately as they could, with guidance from the information on the E.ON website.
E.ON took their information and with the help of a few other tools was able to inform their customers that their home could well be suitable. A free home survey, which took about an hour and a half, was arranged to make sure. It was confirmed and after further discussion the homeowners decided to go ahead with the installation, paying the one-off fee of £99.
The next thing was to deal with the paperwork, which is mainly handled by E.ON but does include signing a lease agreement allowing the solar panels to be installed and kept on the roof for 25 years and 3 months. Once the paperwork was completed, the installation took four days, which included putting up the scaffolding the day before and taking it down afterwards.
A 3.89KW solar system was installed on a south-facing roof by E.ON’s partners, Mark Group – energy technology experts since 1974 and MCS accredited installers. A smart generation meter was installed as part of the offer, allowing E.ON to continue to monitor and maintain the system. The whole process, from completing the online application to getting the solar panels up and running took about 3 months.
The household electricity bill went from £485 to £335, which is an annual saving of £150.
However, the SolarExchange deal is not suitable for every home. To qualify for the offer:
• You must be an E.ON customer at the time of installation
• Your bills should be up to date
• You won’t be using a prepayment meter
• You own and live in your home (includes jointly owned properties)
• Your home has two storeys or less (some three storey properties may qualify but there is an extra charge for additional scaffolding)
• You don’t live in a flat or apartment
• Your home should have an unconverted loft that is accessible and allow for someone to be able to stand in it at its highest point
• Your home has a sloped roof that faces within 30º of south and isn’t in the shade
• The roof is in good condition, structurally sound and covered with concrete, clay or slate tiles
• Your roof is over 23 square metres
• Your home shouldn’t be listed or in a conservation area
• Your home also needs to be registered with the Land Registry
• Your home needs to be in an area with O2 mobile signal strength so that a smart generation meter can be fitted to remotely monitor your system
• Your home shouldn’t be undergoing any building works and there shouldn’t be any planned for the near future
The SolarExchange panels remain with the property and are owned by E.ON for the duration of the agreed term. At the end ownership reverts to the current home owner.
