Hi All

We share a tank with ten other houses for our gas which is supplied by Flogas.  It would 'now' appear that we are contracted to Flogas until March 2008, as Flogas own the tank.

For some seven years we have had to pay the prices that Flogas dictated.  These prices are extortionate.  We are currently being charged 100.38p (£1.38) per cubic metre.  This results in our gas bills being ridiculously high. 

I have compared what we pay to others and it would seem that we are being taken for a ride.  I have this morning telephoned Flogas to ask who their governing body/regulator is and they say that they don't have one!  I asked, therefore, if they were free to charge what they wish for their gas and they said "Yes."

Does anyone happen to know whether this is true.  Can they charge what they wish?  Do they have a governing body/regulator? 

Any advice would be greatly appreciated.  Many thanks.

---

Kind regards
Indi

“In the end, the love that you take is the love that you give”

No regulator at present means they are free to dictate their prices, I enclose a pdf from other consumers in the same position as you.

The matter has been investigated by the office of fair trading who found there were serious concerns, they referred it to the competition commission who has yet have to rule on the matter.

http://www.mmc.gov.uk

/inquiries/current/gas/third

_party_submissions_lpg

_customers_2.pdf

---------------------- ----------------------- ---------------------- -------------------------

Competition commission

http://www.competition-

commission.org.uk/press_

rel/2005/aug/pdf/50-05.pdf

 

All very slow, I might add.

Cheers CMK.

Thanks for the info, ever helpful.

I will investigate further.

Many thanks to you.

---

Kind regards
Indi

“In the end, the love that you take is the love that you give”

Indi --- Do you live that far out in the sticks that you are so far away from mains gas, would it not be financially viable for all the ten houses to club together and share the costs of having a natural gas supply brought to all the properties ?

A very valid question CMK.  :o)

We have a management committee to look after our little community and hold regular meetings.  This idea has been suggested. 

The nearest houses that are on natural gas are about 2 miles away - so not too far really.  I think the management committee have investigated the cost and it was astronomical.  However, they haven't put the idea to bed so it may develop in the future.  In the meantime, we are under the spell of Flogas.

Its rather annoying, as when you ring to enquire as to their high cost per cubic metre, they sound so smug in the knowledge that they can charge what they wish.  All of my neighbours are also annoyed with their high gas bills.

When we moved in the gas was priced quite reasonably but they have slowly raised the prices over a period of time, arguing that they have to buy it in and justify the cost to us accordingly.

I think we'll just have to keep working and flogging ourselves to death so that we can pay our utility bills etc.

Best wishes CMK.

---

Kind regards
Indi

“In the end, the love that you take is the love that you give”

At last..someone else who understands the same problems that we are experiencing, in our developement it's identical to the situation that you in...10 properties on tanked gas , Flogas have us by the 'short and curlies' my late husband tried his best to negotiate a better deal with the CEO of Flogas but it was to no avail..we were not a 'special case'. We tried Transco the gas pipeline company to see how much it would cost to have natural gas brought into the village and they said £345,000.!!!!! ( The village only has approx 50 dwellings, on solid fuel, or electric so having to pay £7000 approx was not a viable option for the older residents or people with young families ) It really gets me annoyed when we are encouraged to 'shop around' for the cheapest supplier ...I want to shout ' I WOULD IF I COULD' meanwhile, we don't have an alternative.

( Before anyone mentions it, when we bought the property 8 years ago, it just said GCH throughout, we didn't know about the LPG until after we had moved in...)

Sylv

harrysgal:

It really gets me annoyed when we are encouraged to 'shop around' for the cheapest supplier ...I want to shout ' I WOULD IF I COULD' meanwhile, we don't have an alternative.

Sylv

Hi harrysgal

It is me Indispensable but I'm having problems logging in with that name at the mo, so I'm using Indi-2 instead, for the time being.

It's nice to know there's someone with the same problem, although it's not a very nice problem to have.  They say a problem shared is a problem halved but not when you need a second mortgage to pay your bleeding gas bill!

Flogas are non-negotiable, totally uncaring and despite constant requests to look at our rate, ignore it.  However, one of our neighbours has been doing a little homework on it, following on from the advice from Conmankiller here on Moneysupermarket.  Apparently the Competition Commission have become involved and the 'hold' that companies such as Flogas have on the likes of us is about to come to an end.  I'm not sure as to the ins and outs but as of September 07, (now changed to March 08), we are allowed to shop around for our gas.  Another gas supplier will then be able to come in and buy the bulk tank and then supply to us at a more competitive rate.

Conmankiller has given me two websites to look at, (posted higher up on this thread).  I have passed these on to my neighbour and he's going to investigate further. 

If I find anything further out, I'll let you know here.  Kind regards.

Indi

It's going to be a long, cold Winter.  Note to diary:  get the woollies out!!!   :o)

Hi harrysgal

Just for the record, I telephone Flogas today to ask them a few questions.

I asked whether they thought it right to bully people into paying their prices by not releasing the hold on their bulk tanks, so that consumers can request a LP gas supply from a more competitive supplier.  I've discovered that other LP gas suppliers are prepared to buy our bulk tank from Flogas, fill it with their gas on a regular basis and undercut Flogas by a considerable sum. 

Their reply:   "We own the tank, we own the pipework to connect the tank to your property."  In other words - tough luck!!!  I asked how it was that other LP gas suppliers can be so much more competitive than Flogas.  Their answer - "Probably because they are a new business and get preferential rates."  This is rubbish - I know of properties nearby who receive their LP gas from long-established companies, much much cheaper than we're being forced to pay.  I asked if they had a conscience charging the prices they charge, knowing that it is beyond the budget of most people.  Their answer "It is relative to what we have to buy it in at." 

I asked if she knew that Flogas were being investigated by the Competition Commission.  She said that she knew they were but she didn't seem perturbed whatsoever.  I asked her what she thought the outcome of the investigation would be for people in our situation.  Her answer "I think that other LP gas suppliers will be able to buy Flogas's assets (assets being their tank and pipework) and offer their LP gas", in other words, exactly what we're asking Flogas to allow to happen now!  Apparently, this should have been actioned this year, was then delayed to March 2008 but Flogas seem to think it will be at least August 2008.

Conclusion:  The sooner we can get rid of these rob-dogs the better.  They simply do not care.  There are some very rich, ignorant, selfish people running this company and I hope they get their comeuppance one way or another!  They have trained their staff very well on the right script to follow when justifying their charges as my neighbours have been told exactly the same as I - to the word!!! 

To boot - her parting shot was - "By the way, we anticipate an imminent price increase."    Words fail me!!!

I have e-mailed a member of their company and await his reply.

---

Kind regards

Indi

Hi harrysgal and all Flogas customers

Just to let you know I have had some sort of a breakthrough with Flogas.  I have been contacted by their Customer Services Manager by e-mail requesting to visit me.

However, I don't know whether this is to negotiate a reduction or to justify their high costs.  I am slightly encouraged that I have finally had my request passed further 'up the channels' and will let you know the outcome.

Incidentally, I mentioned to Flogas that they are being discussed on Moneysupermarket's forums and their representative has 'looked in' and read these comments.  Hopefully now they will be able to do something and allow their consumers to have 'a voice' at last.

I'll keep you posted.  Best wishes.

p.s. CMK I took a look at the websites you recommended and they contain some really useful info.  Thank you very much.

---

Kind regards
Indi

“In the end, the love that you take is the love that you give”

I'm afraid I'm one of the bad guys - I work for one of the large lp gas companies (not a decision maker) and deal with gas pricing every day.  Some of the comments you have made are valid ie. we currently don't have regulations regarding price, but we are certainly not ripping anyone off.  The price of lpg has risen horrendously the last couple of years due to the increase of the world market demand for the product.  The people involved in the gas industry are not hard people who don't care, we do, but we need our jobs so we can pay the increased costs of all utility bills - my natural gas bill has doubled over the last 2 years. All the companies have customers who are paying higher prices and some who are paying lower prices for many different reasons - and I don't work for Flogas.  Contracts are not for life and I have to ask... who signs anything without at least asking or reading what they are signing?

gasworld:I don't work for Flogas.

 

Really?  Strange coincidence - I've had an e-mail from someone at Flogas stating that they have seen this forum and would be making a comment on it in due course. ;o)

gasworld:Contracts are not for life and I have to ask... who signs anything without at least asking or reading what they are signing?

 

Correct - however, we signed up for gas to be provided at a reasonable price, not to be ripped off by someone who is presently unregulated and whose prices are so high that they are being investigated by the Competition Commission!  ;op

---

Kind regards
Indi

“In the end, the love that you take is the love that you give”

I found this forum by accident when I was looking for some gas equipment for camping so I am not the Flogas employee who would comment.  I'll be interested when they do!

 The investigation has been on-going for a considerable amount of time and I look forward to the results.

gasworld:

I found this forum by accident when I was looking for some gas equipment for camping 

Hi gasworld

I think you might find E-bay a better place to look if you wish to purchase some gas equipment for camping.

If you're not the Flogas employee I think you are, then apologies.  Coincidences are a funny thing. 

---

Kind regards
Indi

“In the end, the love that you take is the love that you give”

I can't work out how much you are paying per Kwh. However, if  the cost is very high, and natural gas to expensive to pipe in, why not cut your usage of gas and switch to electricy. The economy 7 rates from a lot of suppliers are very attractive. I know I'm not dealing with the point but might help reduce your bills? 

kev2006n: why not cut your usage of gas and switch to electricity. The economy 7 rates from a lot of suppliers are very attractive. I know I'm not dealing with the point but might help reduce your bills? 

Thanks Kev,

It isn't something we had considered. 

I'll try and investigate economy 7 a little further and I may bring it up at our next residents' meeting.

Thanks again.

---

Kind regards
Indi

“In the end, the love that you take is the love that you give”