Ovo Energy has cancelled plans to increase prices in January 2012 by 3.5%. And the reason given is simple: the wholesale price Ovo Energy pays for its gas and electricity has dropped and so a price increase is no longer necessary.

How refreshing to see such a direct and clear response to market prices; something we are unlikely to see from the ‘Big Six’, who over the summer hiked prices by up to 19%, pushing many customers into fuel poverty, where more than 10% of a household’s income is spent on energy. It makes Ovo Energy’s proposed (yet now cancelled) 3.5% rise seem positively small potatoes.

Ovo is one of a growing number of companies committed to offering consumers cheaper, greener, and simpler ways of buying their gas and electricity.

The rise of the smaller energy provider seems inevitable. For a long time now they have offered clearer tariffs with the added incentive of cheaper bills and greener energy. Ecotricity, in last week’s Guardian magazine, even offered new customers £50 to spend at Naked Wines!

So, do yourself a favour; switch to a greener energy provider, make sure you do all you can to save energy in the home; and keep yourself out of fuel poverty. It may feel like too much hassle but, as both of the aforementioned companies point out, it will take you less than five minutes. Just have your last fuel bills to hand and get online.

[Image: Walmart Stores]