Energy Bills Discount Scheme (EBDS)

Need more help?

If you still require assistance or would like to speak to a member of the team, please call us on 0161 837 3395.
Call centre currently closed

About the Energy Bills Discount Scheme

The Energy Bills Discount scheme (EBDS) is a government supported scheme intended to continue to provide non-domestic customers with a discount on their energy bills subject to eligibility. The Scheme runs 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 have been participating 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.

Further Information for Energy Intensive Industries (ETII) and Heat Networks

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.

Similarly, the Heat Network discount will provide a higher level of support to heat networks with domestic end consumers.

To receive additional support as an ETII or Heat Network, you will need to have registered through the government’s portal, which you can access here.  

More information for ETIIs and Heat Networks can be found in our FAQs below.

Common Questions Energy Bills Discount Scheme FAQs

Our FAQs provide answers to commonly asked questions about who we are, what we do, our products, and how we work.

I can’t afford to pay my invoice, what can I do?

Please do get in touch with us immediately on 0161 837 3396 or e-mail creditcontrol@sefe-energy.com if you're having difficulties paying your invoices.

Our Credit Control team have lots of experience in creating payment plans for customers who need help.

How is the Energy Bills Discount Scheme impacted if I arrange my contract through a broker, TPI (Third Party Intermediary) or intermediary?

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.

When does the Energy Bills Discount Scheme run until?

The Energy Bills Discount Scheme (EBDS) 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.

Who is eligible for the Energy Bills Discount Scheme?

The EBDS scheme will be available to everyone on a non-domestic energy supply contract with a licensed energy supplier including:
• businesses
• voluntary sector organisations, such as charities
• public sector organisations such as schools, hospitals and care homes

who are:
• on existing fixed price contracts that were agreed on or after 1 December 2021
• signing new fixed price contracts
• on deemed/out of contract or variable tariffs, or
• on flexible purchase (or similar) contracts
• on variable ‘Day Ahead Index’ (DAI) tariffs (Northern Ireland scheme only)
Comparable support will be extended to non-domestic energy customers who receive gas or electricity delivered over public networks from non-licensed providers.

How will the Energy Bills Discount Scheme work?

The scheme provides 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:

  • The baseline discount will provide some support with energy bills for eligible non-domestic customers in Great Britain and Northern Ireland – this support will be applied automatically.
  • The Energy and Trade Intensive Industries (ETII) discount will provide a higher level of support to businesses and organisations in eligible sectors – you will need to register to get this support – more information on this is provided below.
  • The Heat Network discount will provide a higher level of support to heat networks with domestic end consumers – you need to have registered to get this support – more information is provided on this below.

Please refer to the UK Government’s EBDS page for the most up-to-date information.

What EBDS support is available to Energy and Trade Intensive Industries (ETII) customers?

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.

The government portal for ETII energy customers can be found here.

Additional FAQs on EBDS support for Energy and Trade Intensive Industries (ETII) can be found here.

What EBDS support is available to heat networks?

Heat suppliers are organisations that supply heating and hot water through heat networks. They usually purchase energy to supply heat through commercial contracts.

The EBDS Heat Network discount will provide a higher level of support to heat networks with domestic end consumers – you need to have previously registered to get this support.

More information can be found here.

Additional FAQs on EBDS support for heat networks can be found here.

How is the baseline Energy Bills Discount Scheme discount applied?

Eligible non-domestic customers 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:

  • electricity - £19.61 per megawatt hour (MWh) with a price threshold of £302 per MWh.
  • gas - £6.97 per megawatt hour (MWh) a price threshold of £107 per MWh

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.

Do I have to apply for the Energy Bills Discount Scheme?

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.

To receive additional support if you’re an ETII customer or part of a heat network, you need to have registered on the government’s portal prior to the application period closing, after which eligible customers will have been issued a certificate to access the higher rate of discount.

More information on additional support for ETII customers can be found here.

More information on additional support for Heat Networks can be found here.

When and where will I see a discount through the Energy Bills Discount Scheme?

If you’re eligible, most non-domestic customers receiving the baseline discount should have seen it applied to their energy bills from May 2023.

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.

How is the Energy Bills Discount Scheme impacted if I arrange my contract through a broker, TPI (Third Party Intermediary) or intermediary?

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.

How will my EBDS discount be affected if I join or renew my contract with SEFE Energy?

If you agree to a new fixed price contract after 1 April 2023 you will receive the same EBDS support as per the Government baseline discount, providing your contract starts before 31 March 2024. This applies to both new and existing customers.

Will the Energy Bills Discount Scheme affect the VAT I pay?

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.

What happens if my contract ends during the Energy Bills Discount Scheme period?

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.

I’m currently on a Deemed Contract – do I qualify for an EBDS discount?

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 the 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 request a quote through the Request a Quote page here.

Further information Energy Intensive Industries (ETII)

What additional support is available to Energy and Trade Intensive Industries (ETII) customers?

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.

Am I eligible for ETII Discount?

To be eligible for the ETII discount, you must have a non-domestic contract with a licensed energy supplier and be:

  • on existing fixed price contracts that were agreed on or after 1 December 2021
  • signing new fixed price contracts
  • on deemed/out of contract or variable tariffs
  • on flexible purchase (or similar) contracts
  • on variable ‘Day Ahead Index’ (DAI) tariffs (Northern Ireland scheme only)

Your UK business or organisation should also be able to prove that at least 50% of its revenue is being generated from UK-based activity within eligible SIC code sectors.

For Local Authorities, eligibility will be determined at a premise level. Where there are no relevant accounts, the Local Authority will be required to declare that at least 50% of the space is taken up by operations within eligible sectors.

How do I register as an ETII?

You must apply via the gov.uk portal for ETII support. Applications are now open and updated information can be found here.

Your supplier can not apply for this higher level of support on your behalf. If you do not apply for the support, we will not be able to provide you with the discount automatically.

Eligible organisations will have 90 days from the scheme introduction date of 26 April to apply for the ETII support.

What information do I need to provide?

The government has indicated that you will need to provide information about your organisation or business including:

  • contact details
  • registered name and address
  • company registration number (if you have one)
  • up to four ETII eligible SIC codes
  • whether you pay bills directly to an energy supplier and details of any intermediaries involved (such as a landlord)
  • the names of gas and/or electricity suppliers
  • the gas or electricity meter point numbers (MPRN or MPAN) associated with the property, found on your bill from your energy supplier
  • the name of your organisation as it appears on your bill from your energy supplier(s)

You will also be required to provide evidence for your application signed by a named director or equivalent of your organisation or business.

The government will determine eligibility based on the application. In some instances, further validation of eligibility may be required meaning that the organisation will be asked for additional information. The government will use a number of data sources to determine this.

The information that will be required is subject to change – please refer to the government’s EBDS page for the most up to date guidance.

Who can I contact for help and support?

If you cannot apply online when applications open, or have further questions, you can contact the government EBDS customer support team.

Email: support@ebds.beis.gov.uk

Telephone: 030 0400 5251 Monday to Friday, 9am to 5pm Find out about call charges

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.

Further information Heat Networks

What additional support is available for heat networks?

Heat suppliers are organisations that supply heating and hot water through heat networks. They usually purchase energy to supply heat through commercial contracts.

As non-domestic customers, all eligible heat networks will receive at least the baseline level of support under the EBDS. A higher level of support will be available to heat networks with domestic end consumers.

Eligible organisations will need to take action to receive this support. The most up-to-date information on this can be found here.

Heat suppliers that have heat networks with domestic end consumers will be required by law to apply for this support and pass on the benefit they receive to their end consumers.

What is the eligibility for heat network support?

Heat networks will be eligible for the higher level of support if their heat network:

  • meets the definition of a heat network as defined in the EBDS Regulations
  • is supplied gas or electricity by a licensed supplier for the purposes of generating heat serve one or more domestic end consumers
What support would I receive?

This scheme aims to bring retail energy prices paid by heat suppliers down to a specific heat network Minimum Supply Price. This means there are no maximum discounts or wholesale price thresholds for heat networks. This is different to the approach taken for other parts of the Energy Bills Discount Scheme or the Energy Bill Relief Scheme.

The scheme will support the wholesale element of a heat network’s energy tariff, up to the point that the Minimum Supply Price is achieved. The Minimum Supply Prices will be set as:

  • Electricity - £340 per MWh
  • Gas - £78.3 per MWh

After your application for the scheme has been approved, heat suppliers will receive the new discount rate from their energy suppliers. They will then need to pass this discount on to their consumers.

Why is the support different for heat networks?

The aim of the support scheme for heat networks should ensure that domestic customers on heat networks do not face disproportionately higher heat and hot water bills when compared to customers in equivalent households who are supported by the Energy Price Guarantee (EPG).

How do I register for heat network support?

You must apply via the gov.uk portal for ETII support. Applications are now open and updated information can be found here.

Your supplier can not apply for this higher level of support on your behalf. If you do not apply for the support, we will not be able to provide you with the discount automatically.

Eligible organisations will have 90 days from the scheme introduction date of 26 April to apply for the higher support.

What information do I need to provide?

The government has indicated that you will need to provide information about your heat network supply, such as but not limited to:

Details of the heat supplier:

  • registered name
  • contact details
  • address
  • company registration number (if they have one)

Details of the individual completing the application:

  • name
  • contact details

Details of the heat network:

  • name
  • postcode of the heat network’s primary energy centre
  • the type of energy used to power the heat network (gas, electricity, or both)
Further information you will need

Applicants will also need to provide a signed Director’s declaration letter. A letter signed by a named director or equivalent of your organisation or business that states that all the information in the application is accurate to the best of their knowledge. A PDF template will be provided for this when applications open.

Applicants may need to provide further evidence that the heat network for which they are applying has domestic customers.

The information that will be required is subject to change – please refer to the government’s ERDS page for the most up-to-date guidance.

Who can I contact for help and support?

If you cannot apply online when applications open, or have further questions, you can contact the government EBDS customer support team.

Email: support@ebds.beis.gov.uk

Telephone: 030 0400 5251 Monday to Friday, 9am to 5pm Find out about call charges

opens in new window