Glossary of terms P-S

PASS-THROUGH CHARGES 

These are costs that the electricity industry incurs in delivering your energy. They include the following charges

R

RECONCILIATION ADJUSTMENTS

It is not always possible to accurately charge certain elements of your invoice the first time around, for instance when government-related charges have yet to be finalised. Reconciliation adjustments allow us to re-balance your charges if there is a difference between a previous statement and the actual out turned charge required.

RE-FLOAT FEE

Re-float fee is the cost associated with selling back energy as part of your flexible buying strategy.

RENEWABLES OBLIGATION (RO)

Renewables Obligation, or RO, is Government incentivised distribution of large-scale renewable electricity generation.

The RO makes it mandatory for all UK electricity suppliers to provide electricity to businesses from renewable sources or pay a penalty. The scheme is administered by Ofgem who issues Renewables Obligation Certificates, or ROCs, to renewable electricity generators for every megawatt hour (MWh) of eligible renewable electricity they generate.

Generators sell their ROCs to suppliers or traders which allows them to receive a premium in addition to the wholesale electricity price.

RENEWABLE ENERGY

Renewable energy refers to energy that is collected from renewable resources, which are naturally replenished on a human timescale, including carbon neutral sources like solar (sunlight), wind, geothermal heat and rain, tides, and waves (hydro). Non-renewable electricity emits greenhouse gas and includes coal, gas and oil.

RENEWABLE GAS GUARANTEES OF ORIGIN (RGGO)

A Renewable Gas Guarantee of Origin (RGGO) is a green gas certificate. RGGOs are managed by the Green Gas Certification Scheme (GGCS). You can read about how Shell Energy uses RGGOs by visiting ourrenewable energy page.

RENEWABLE ENERGY GUARANTEES OF ORIGIN (REGO)

The Renewable Energy Guarantees of Origin (REGO) scheme was created to verify the origins of renewable electricity in the UK. OFGEM manages the scheme on behalf of the Department for Business, Energy, and Industrial Strategy (BEIS). Shell Energy customers receive renewable electricity backed by REGOs as standard, Find out more by visiting our renewable energy page. 

RENEWABLE PREMIUM

The renewable premium is the cost related to securing electricity generated from clean, renewable energy sources.

S

WHAT ARE STANDING CHARGES?

Standing charges apply to a fixed cost paid in addition to usage charges for gas and electricity. Standing charges cover costs like:

  • meter reading

  • maintenance

  • connection to the energy network

  • gas emergency services.

SHAPE FEE

The shape fee covers the cost of purchasing electricity for your residual volume which is the difference between your Agreed Baseload Volume (ABV) and your forecast consumption for that supply period.

SUPPLY OFFTAKE QUANTITY (SOQ)

The Supply Offtake Quantity, or SOQ, is the maximum daily consumption for a supply point, measured in kWh.

SUPPLY POINT (SP)

A Supply Point, or SP, is group of one or more meters for which National Grid shall make Natural Gas available for the gas shipper.

SUPPLY POINT AQ

This is the total yearly consumption of all meters on a site.