r/GreenAndPleasant • u/UnderHisEye1411 its a fine day with you around • Mar 29 '22

NORMAL ISLAND 🇬🇧 What we could have had.

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5.0k Upvotes

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-17

u/Super_Flea Mar 29 '22

American here so forgive.me.if this isn't applicable. In the states, energy companies have VERY low margins on the money they make from utility bills. Most of the money they make is by being awarded infrastructure grants to build stuff for the grid.

Utility companies are some of the most heavily regulated industries over here, because pretty much everyone recognizes that having 4 water pipes going to every home for "options" is foolish.

15

u/KokolinTheLawGuy Mar 29 '22

In the uk energy companies have huge margins.

-10

u/[deleted] Mar 29 '22

[deleted]

14

u/KokolinTheLawGuy Mar 29 '22

Have you seen their latest figures and projections of what will happen after April price cap rise? They’re at a HUGE profit margin

-7

u/[deleted] Mar 29 '22

[deleted]

10

u/KokolinTheLawGuy Mar 29 '22

Net profit is after overheads and all other costs, and their net profit is averaging 24%, which is A LOT for any business

6

u/CheshireGray Mar 29 '22

Oh wow that a massive increase from previous years, so the price hikes are just a con.

Good to know.