Balancing Services Use of System (BSUoS) is a non-commodity charge that covers the day-to-day cost of balancing and operating the transmission system. Historically these charges were calculated daily and paid by both energy generators and suppliers.
The overall cost of BSUoS has increased in recent years primarily due to changes in updating and future-proofing the network. Additionally, from 1 April 2023, the BSUoS price to consumers will significantly increase following a decision from Ofgem to recover the costs from energy suppliers only.
Ofgem approved the modification to BSUoS for several reasons, but the main incentive was due to competition. As we build more interconnection with Europe, UK generation will compete with European generation, who do not pay the equivalent of BSUoS and would have risked investment moving away from the UK.
We do everything we can to shelter our customers from non-commodity cost fluctuations. Unfortunately, given the extent of this increase, we need to increase the rate you pay.
As of September 2021, our prices for new and renewed contracts, which extended beyond April 2023, have included this increase in the rate as we forecasted that Ofgem would implement this change. However, those priced prior to September 2021 do not and are now subject to an uplift in the rate.
Because you chose an SSE Choice contract, your non-commodity charges are not fixed for the contract duration. Your contract terms and conditions state that we are entitled to charge you for costs applied by your distributor and/or to reflect any variation in our costs in the supply of electricity which is not within our reasonable control. This includes passing on a rise in non-commodity charges, as we incur costs from third parties (including your distributor) in supplying your electricity, which we cannot control.
There will be no change to the standing charge you pay.
The rate increase will be applied from 1 April 2023 for the remainder of your contract.
Each of our customers uses energy differently, and this charge will be applied based on consumption. As an example, a business that consumes 12,000 kWh of electricity in a year would see an increase of less than £10 per month.
On an SSE Choice contract, your energy costs are fixed, but the non-commodity costs can change in line with third-party charges – like government levies and transporting electricity through the diﬀerent networks. So while we do everything we can to keep these costs secure, this product does allow for some fluctuation.
Our SSE Protect contract removes the risk of mid-contract price increases by fixing your energy costs and existing non-commodity charges for the duration of your contract. We reserve the right to pass on costs such as a new element or tax coming into place. If you wish, you can move to SSE Protect once your contract is up for renewal.
These unforeseen costs apply across Britain’s energy supply and are outside our control as third parties set them. The BSUoS regulatory change has had a material impact on these costs, and we need to pass on these cost increases. Unfortunately, it’s not possible to avoid this increase. As you’re subject to a fixed-term contract with no ability to terminate, your contract end date will remain as stated when you agreed to your contract.
This does not affect your renewal offer. We’re currently able to price out to March 2025, so if you’d like us to see what we can do for you, please call our sales team on 0800 389 4466. One of our advisers will be able to talk through our products and discuss which is best suited to your needs.
You might receive a bill that’s too high where we’ve been unable to input more accurate energy consumption figures. To help avoid overbilling, please submit meter readings monthly. You can submit your latest reading here.
If you get a smart meter installed for your business. Accurate readings from your meter will be sent to us automatically*, which means no more estimated readings. You’ll only ever be charged for the energy you’ve used.
With a smart meter, you’ll also have access to our energy management platform, Clarity†, which gives you real-time insights into your energy—helping you make changes to reduce your energy consumption and carbon emissions.
Register your interest in a smart meter today, and our team will get back to you.
*In the unlikely event that our communication with your smart meter is disrupted, we may advise you to submit a manual meter reading, or you may receive an estimated bill.
† Terms and conditions apply
If you would like to speak to a team member about the change to your bill, please call us on 0345 072 0030. Our team is available Monday to Friday, 9am to 5pm.
For further information about how we use and protect your personal data, please see our privacy notice.