Pass Through Contracts
A Pass Through contract is another device used by both Brokers and Suppliers alike in order to get you to commit yourself to a contract without disclosing the actual total contract value. Pass through pricing will often be presented as a very cheap option to the would be customer, however a pass through contract is a price that ONLY includes the unit price for each kilowatt of power used. It will carefully conceal other elements such as standing charges, capacity charges, Duos and TNUos charges, distribution charges, transmission charges, meter reading, settlement costs, distribution and transmission losses.
These costs will appear separately on a customers bill from the Pass Through contract prices and the customer is responsible for paying all these additional costs which are not fixed and are variable on a monthly basis. This leaves a customer unable to budget 100% accurately for their contract costs, and many are often completely unaware of them until its to late.
Cheaper Business Energy’s advanced software includes 100% of the costs, resulting in an accurate no-nonsense comparison leaving the customer with no doubt as to their best contract option as absolutely all elements of costs within a proposal are revealed.