As businesses remain uncertain with the current energy crisis, undoubtedly there are numerous questions and concerns.
That's why we've created answers to some frequently asked questions, to address these and create clarity.
If you any further questions, then please don’t hesitate to contact the SEFE Energy team over on our contact us page.
The Energy Bills Discount scheme (EBDS) is a government supported scheme and it is intended to continue to provide non-domestic customers with a discount on their energy bills subject to eligibility. The Scheme will run from 1 April 2023 to 31 March 2024.
The EBDS replaces the Energy Bill Relief Scheme (EBRS), which supported businesses and organisations between 1 October 2022 and 31 March 2023.
At SEFE Energy, we’re fully supportive of the government’s proposal and will participate in the Scheme alongside other B2B suppliers in the industry. We will continue to share updates about the Scheme as more information is made available.
Information can be found on the government website here.
The Energy Bills Discount Scheme (EBDS) will run for 12 months from 1 April 2023 to 31 March 2024.
The scheme will be available to everyone on a non-domestic energy supply contract with a licensed energy supplier including:
Comparable support will be extended to non-domestic energy customers who receive gas or electricity delivered over public networks from non-licensed providers.
The scheme will provide a baseline discount, which is calculated as the difference between the wholesale price associated with your energy contract and a price threshold that is published and set by the government.
The scheme is made up of three different parts:
Please refer to the UK Government’s EBDS page for the most up-to-date information.
Customers identified by the government as primarily operating within Energy and Trade Intensive Industries (ETII) may be eligible for a discount that will provide a higher level of support.
An ETII customer is a non-domestic customer, operating primarily in sectors that have been identified by the government as the most energy and trade intensive.
The government has identified a list of sectors eligible for this scheme based on Standard Industry Classification (SIC) codes, which can be found here.
If you’re eligible, you will need to take action to apply for the scheme and get the support.
The government portal to register as an ETII energy customer can be found here.
Heat suppliers are organisations that supply heating and hot water through heat networks. They usually purchase energy to supply heat through commercial contracts.
The Heat Network discount will provide a higher level of support to heat networks with domestic end consumers – you need to register to get this support.
Eligible non-domestic customers will receive a per kWh discount to their energy bills during the 12-month period from April 2023 to March 2024. This is subject to a maximum discount.
The relative discount will be applied if wholesale prices are above a certain price threshold.
For most non-domestic energy users in Great Britain and Northern Ireland these threshold prices and maximum discounts have been set at:
The discount is calculated as the difference between the wholesale price associated with your energy contract and the price threshold.
The discount is phased in when the contract’s wholesale price exceeds the floor price, until the total discount per MWh reaches the maximum discount for that fuel.
The discount is only applied to the wholesale element of the bill and so the final per unit price paid will differ as it includes other costs such as network charges.
No. If you’re eligible for the Scheme, the standard discount will be automatically applied to your bill. You don’t need to contact us or apply for the Scheme to receive it
If you’re an ETII customer or part of a heat network, you will need to register on the government’s portal for a certificate to be able to access the higher rate of discount that could be available.
More information on if you qualify as an ETII can be found here.
More information on if you qualify as a Heat Network can be found here.
If you’re eligible, most non-domestic customers receiving the baseline discount should expect to see it in their May bill. You should continue to pay your bills as normal until the discount is applied.
It's important to note, most non-domestic customers will not see additional support on their energy bills from April and any support is likely to be significantly reduced.
Please refer to the government’s EBDS page for the most up to date information.
If you have qualified for a discount, you will see this figure confirmed on your Gas or Electricity invoice.
If you agree to a new fixed price contract after 1 April 2023 you will receive the same support as per the Government baseline discount, providing your contract starts before 31 March 2024. This applies to both new and existing customers.
Energy brokers have no influence on the per unit cost reductions applied to your bills under this scheme. If you’re eligible, you don’t need to take out a new contract or change your contract for the discount to be applied.
VAT can only be charged on the cost that we bill you, so you will pay VAT if applicable on the cost of energy after the EBDS discount(s) if you qualify.
If you have not renewed or arranged a new supply contract when your current agreement ends, you will default as standard to our out of contract rates.
More information on those charges can be found here.
If you are on a variable tariff, and want to remain on it, you will get the reduction, subject to the ‘maximum discount’.
Deemed contract rates traditionally are higher than fixed contract prices we can offer customers. More information on those charges can be found here.
You may benefit from being on a fixed price contract. If you would like to discuss your contract options, please contact us on 0161 837 3379 or email firstname.lastname@example.org with your account and meter information and we will be in touch.
We are aware that rising energy costs are concerning for our customers and businesses. Visit our financial difficulty page for support on energy bills and payments, which can be found here.