Is EHU metering a good investment?

GEandGJE replied on 28/11/2022 17:23

Posted on 28/11/2022 17:23

I was going to post this in the thread that has been Deleted User as a number of folk were saying that EHU Metering would make pitch prices cheaper, so Let's play the You Said, We Listened and Implemented game. This is my view based on my experience as an IT Infrastructure Project Manager and in IT Procurement.  To satisfy the We don't want EHU and want cheaper pitch prices group of people, the We only want to pay for the electricity we use group of people and the I'll pay whatever as I'm on holiday group of people, the clubs only option is to move to metered usage. How does the club do that and what investment would be needed. Lets estimate that the club has over 10,000 pitches with an average of 2 hookups per bollard that's 5,000 bollards that will need to be modified and/or replaced and some of those will need groundwork undertaken for new cabling etc, it will require  putting all pitches out of action and subsequent loss of income whilst the work takes place. This can't all be done at once and I think that a 5 year rollout period would be a stretch and it would take a dedicated team at HQ to manage. They would need to procure equipment, electrical installation teams, groundwork teams, IT systems and software to operate the metering and payments, negotiate contracts with all the power companies who supply the club sites and negotiate with any land owners. I don't think you would get much change from a £5 million investment of the clubs (our) money. Issues that the club would need to consider 1) leased sites where the land owner doesn't give permission for the work to be carried out or the lease will soon come to an end 2) the price per kW from each of the power suppliers will vary depending on contract length and renewal dates, so do they average that price out across all sites or do you have different EHU costs in different areas of the network 3) do you factor the suppliers standing charge into the  metered cost,  4) the club would need to move to a credit card only payment system where the payment for EUH used is automatically deducted at the end of your stay 5) a central dispute resolution team, as there will always be people who will challenge the bill and that shouldn't be the on site teams and finally the biggest question for the club, 6) what return on investment will the club get. I doubt very much that the savings made from the electricity used would come close to the investment needed therefore the remaining investment would need to come from reserves and most likely recouped from increased pitch prices. Lastly this would give the club a very inconsistent offering with not all sites offering metered EUH, the cost of EHU could vary from site to site and an even bigger price variance across the network. Not a very good Business Case in my view, in terms of both investment and inconvenience to the membership so I can't see it happening I'm afraid.

mickysf replied on 03/12/2022 12:24

Posted on 03/12/2022 12:24

Some talk of charitable status or a possible reduction in the rate of VAT to assist the industry.  Regarding the former, that precedent has been set in another unrelated industry. There are those so called ‘high end’ providers of Education who are awarded charitable status. Unlike these, the tourist industry pretty much serves all of our community and may, in my opinion, be far more deserving.

DavidKlyne replied on 03/12/2022 12:45

Posted on 03/12/2022 10:46 by young thomas

"What the Club could also do is to set aside two pitches per site designated as non electric pitches (with bollards disabled) to judge if there really was a real demand for for non electric pitches."

but that's how the club already manages its 'economy' set up now....one pitch or so, stuffed away where no one would use it.

things have to be done on a fair basis to give any sort of fair results...therefore 'test' pitches have to be in places where members would normally choose to stay.

Posted on 03/12/2022 12:45

I agree. For it to be a real test they have to select two regular standard pitches. Generally the pitches on Club sites currently classed as "economy" are such that they are in odd corners where it is difficult, or uneconomic to provide electricity.

David

mickysf replied on 03/12/2022 13:02

Posted on 03/12/2022 12:45 by DavidKlyne

I agree. For it to be a real test they have to select two regular standard pitches. Generally the pitches on Club sites currently classed as "economy" are such that they are in odd corners where it is difficult, or uneconomic to provide electricity.

David

Posted on 03/12/2022 13:02

Oh, I can hear the outcry from some now. The motorhome fraternity has a far higher occurrence of ‘off grid’ units than caravans. Remember the name change and how that was met on CT? I do! Now if those pitches were not in less appreciated areas let’s now be beware of that ‘wrath’ which would, I’m sure, follow.

replied on 03/12/2022 13:24

Posted on 03/12/2022 13:02 by mickysf

Oh, I can hear the outcry from some now. The motorhome fraternity has a far higher occurrence of ‘off grid’ units than caravans. Remember the name change and how that was met on CT? I do! Now if those pitches were not in less appreciated areas let’s now be beware of that ‘wrath’ which would, I’m sure, follow.

Posted on 03/12/2022 13:24

The user and all related content has been Deleted User

Takethedogalong replied on 03/12/2022 13:28

Posted on 03/12/2022 11:58 by SueandKeith

Sorry, TDA.  The seasonal van is a Sterling Moonstone.

As an aside, we caravan with family members who take all the heavy-wattage gadgets from home.  One of them, who doesn't understand how electricity works, trips their electric every day by using kettle, hair dryer and 2kw heating simultaneously!!

 

 

Posted on 03/12/2022 13:28

My apologies for making assumptions. But that makes your stay even more value for money, well done you.👏👏

I would suggest a £5 fine everytime the tripper trips the electric. Reimbursed if he/she/they can last a month without tripping once!😁 Effort needs a reward👍

JVB66 replied on 03/12/2022 13:28

Posted on 03/12/2022 12:58 by

I also intended to say, but got distracted, that I find it sickening that commercial companies and so called "clubs" are attempting to get the government to reduce its income, thereby getting the taxpayer (us) to support their business.  If they want to keep attracting customers then they should reduce their own prices by whatever means they can.   

Posted on 03/12/2022 13:28

With the hudreds of millllions of pounds of furlough? money handed out to all sorts of dodgy  companies and still not returned or found   ,A few more to actually help save a very large part of the UKs income is peanuts

Takethedogalong replied on 03/12/2022 13:36

Posted on 03/12/2022 12:58 by

I also intended to say, but got distracted, that I find it sickening that commercial companies and so called "clubs" are attempting to get the government to reduce its income, thereby getting the taxpayer (us) to support their business.  If they want to keep attracting customers then they should reduce their own prices by whatever means they can.   

Posted on 03/12/2022 13:36

I sort of get what you are saying. Many firms pay their staff such low wages that they have to rely on some form of benefit to top up their wages. Meanwhile, the shareholders rake in the dividends. Next were such a company, not sure if the situation has altered at all. This affects us all, our taxes one way or another are winding their way very successfully into the greedy paws of shareholders. 

Not the same as the Club asking for a VAT rebate, but I for one would rather see any such rebate applied to something where lots more folks than campers and tourers benefit. More food items for example……..

replied on 03/12/2022 13:40

Posted on 03/12/2022 13:28 by Takethedogalong

My apologies for making assumptions. But that makes your stay even more value for money, well done you.👏👏

I would suggest a £5 fine everytime the tripper trips the electric. Reimbursed if he/she/they can last a month without tripping once!😁 Effort needs a reward👍

Posted on 03/12/2022 13:40

The user and all related content has been Deleted User
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