ENECHANGE Survey: 95% of people feel uneasy about the soaring electricity prices

ENECHANGE Ltd. (Head Office: Chuo-ku, Tokyo; Representative Director & CEO: Yohei Kiguchi, PhD, hereafter “the Company”) conducted a survey of ENECHANGE newsletter subscribers regarding their energy bills. The survey was conducted against the background of sharply increased electricity prices and tariff revisions by a number of energy companies. The results of the survey showed that approximately 95% of respondents were concerned about the rising cost of electricity, which revealed the importance of explaining and providing information to consumers. In addition, the electricity and gas comparison website ENECHANGE is running a campaign until 30 September to support savings due to the electricity price increase.

Background

Electricity prices in Japan have continued to rise, which are caused by factors including the situation in Ukraine leading to rising fuel prices (crude oil, coal and LNG), supply and demand constraints for electricity, etc. From April 2023, the wheeling feewas revised, and from June 2023, electricity tariff revisions are being implemented by various energy companies, including regulatory tariff increases by seven major energy companies and new entrants introducing their own fuel cost adjustments. The Government is required to provide consumers with easy-to-understand price comparisons and explanations of risks and other aspects of electricity tariff plans, which are becoming increasingly complex.
Against this backdrop, we conducted a survey on electricity bills for subscribers of our ENECHANGE newsletter and received 4,849 responses in five days, showing the high level of interest consumers have in their electricity bills.

Survey summary

Survey target: subscribers of the ENECHANGE electricity and gas comparison website newsletter.
Survey method: online questionnaire
Survey period: 23/08/2023 – 27/08/2023
Number of questionnaires collected: 4,849
Respondent demographics:
[Gender] Male: 63.7%, female: 34.1%, no response: 2.3%.
[Age] Under 20s: 6.1%; 30s: 18.6%; 40s: 26.3%; 50s: 27.3%; 60s and over: 21.8%.
[Number of household members] 1 person: 26.3%; 2 persons: 30.3%; 3 persons: 20.3%; 4 persons: 16.7%; 5 persons: 4.9%; 6 or more persons: 1.5%.

Survey results summary

Topic 1: Growing concern about electricity bills: 78% check their bills at least once a month, 80% actively notice an increase, and 95% are worried.
Topic 2: Consumers’ awareness of electricity price increases: 48% are unaware of the price increases due to lack of information.

Survey results.

Topic 1: Growing concern about electricity bills: 78% check their bills at least once a month, 80% actively notice an increase, and 95% are worried.

Around 78% of people check their electricity bill at least once a month. Around 80% of people have checked their electricity bill recently and noticed that it has risen. Around 95% also felt anxious about the increase in their electricity bills, with around 64% of them feeling highly anxious about it. While the new entrants are competitive in the market, the major energy companies also maintain a certain presence.

Topic 2: Consumers’ perception of electricity price increases: 48% are not aware of price increases.

With regard to price increases by electricity companies currently under contract, approximately 52% of all respondents were aware of price increases, stating that their electricity company had already increased or was planning to increase prices. However, approximately 48% of respondents did not know whether their electricity company had increased or was planning to increase electricity prices, indicating that consumers may not be fully informed about their own tariffs. In addition, around 55% of respondents did not compare the details of their plans when their electricity company announced an increase because they did not consider it, because they thought there would not be much difference, or because they did not know whether it would be cheaper by switching to another company.

Considerations

Around 78% of consumers check their electricity bills at least once a month, and 80% of these consumers noticed that their electricity bills have recently increased. Furthermore, around 95% of consumers are highly concerned about rising electricity bills, indicating a very heightened awareness of rising electricity costs.
However, there was also a lack of consumer understanding of electricity company contracts. Around 23% of respondents said they did not know which company they were with or which plan they were on, and close to half (48%) of all respondents said they did not know whether the electricity company had increased or was planning to increase electricity prices.
These results show that there is room for improvement in consumer understanding of electricity prices and energy company contracts, and that providing reliable information is important. The results also suggest the need for the energy industry to provide consumers with easy-to-understand explanations and information around increasingly complex electricity prices.

Source: ENECHANGE energy price comparison website, ‘Survey on electricity bills’ (URL: https://enechange.jp).
Please quote this as a reference when using survey results.

ENECHANGE’s leading customer support (96% satisfaction rate) helps customers choose energy tariffs through clear, expert advice

At ENECHANGE, electricity and gas tariff specialist agents carefully answer any questions customers may have, and our customer support via phone and email has achieved a customer satisfaction rate of 95.5%*.

We provide easy-to-understand, detailed explanations of the latest electricity industry trends and technical details on electricity prices. We also help customers to make an informed choice through price comparisons based on analyses reflecting the latest information from the JEPX and the setting of unique fuel cost adjustments for new electricity providers. We also respond to enquiries from customers who are unsure which energy company they should choose. Specialist staff compare the plans of different energy companies and provide objective advice based on impartial and neutral information.

The company has been recognized not only for its detailed explanations of electricity prices, but also for its support of tariff options that use renewable energy sources. In the future, we will strive to develop our services to meet customer needs by providing even more precise energy data and developing our own energy tariffs.

URL: https://enechange.jp
*Surveyed by the Company. From customer satisfaction survey results (as of June 2023).

Electricity price increase savings support campaign underway

To encourage customers to save money by increasing their electricity bills, ENECHANGE is running a lottery campaign in which one in 100 customers who apply for an electricity plan with an eligible electricity company will receive an Amazon gift card worth 3,000 JPY.
Campaign period: 24 July (Mon) – 30 September (Sat), 2023.
*This campaign is subject to change or end without notice.
*The campaign is subject to the same or amended terms and conditions and an extended period.

Campaign website
URL: https://enechange.jp/specials/electricity-price-increase

ENECHANGE Ltd.

ENECHANGE is an energy technology company that promotes a net zero society through digital technology with the mission of Changing Energy For A Better World. We offer services based on data utilization in the field of the 4Ds of Energy: Deregulation, Digitalization, Decarbonization, and Decentralization. Our company’s roots come from an energy data lab at the University of Cambridge, UK, a country where liberalization is mature. ENECHANGE has a UK subsidiary, ENECHANGE Innovation Limited, as well as a global network and analytical technology for energy data.

URL: https://enechange.co.jp/en/

For inquiries
ENECHANGE Ltd.
pr@enechange.co.jp