Ian Parret, a person who works for Inenco, says prices could rise when the economy recovers. Inenco is a market leading consultancy specialising in energy management, sustainability and environmental services in the UK.
Others believe that prices will cut. They believe in a second round of energy bill cuts this autumn, because of the falling wholesale prices. Millions of ‘British Gas’ customers already had a 10% cut in gas bills. Other big energy companies will cut their prices around the end of March. There will be price cuts for gas and for electricity. Joe Malinowsky, of price comparison website TheEnergyShop.com, said the price cuts don’t have much impact, because of the strong rising prices during the whole year. Energy bills will still take a big part of the family budget, even with price cuts.
On the other hand, it can get worse. Some suggest that energy bills could start to rise again in 2010, because of an uncertainty about the supply of imported gas and rising wholesale prices.
I really think that it’s impossible to predict how energy prices will evolve. Like you can see in this blog, there are experts who think prices will cut and others who think prices will raise more. On the other hand, I think energy prices will keep on rising during the economical crisis. Just because people try to save money on everything and the demand for energy will reduce. This will lead to a decrease of sales and less profit for the energy companies. Companies have only one simple solution to remain that profit by increasing their prices.