Tuesday, November 29, 2011

Free* furnace cleaning

There was a recent Groupon "deal" for a $200 furnace cleaning/inspection for $89. I really doubt that the $200 value has any relation to reality (who would ever partake of a "regular price" $200 furnace cleaning? Sounds like fraud to me), but $89 is still a rip-off when the competition is $0.

To be fair, if you have a house in Edmonton then you're already paying $50 a month to the gas company for nothing, so *it's not really free, but...

Once a year you can get the gas company to inspect your furnace. They'll clean the pilot light if necessary and scrape the dust out of the gas... uh... BBQ thing. It's probably worth doing every few years. Anyone who ordered the Groupon "deal" is a sucka.

Thursday, July 21, 2011

Money for nothing

If you use a small enough amount of natural gas, Direct Energy might not even list it on your bill. Instead of usage amounts, you'll get a Rate Code of "Low Residential", and you'll be billed as if you used no gas at all (I wouldn't doubt that it'll still add up and show up on a future bill). This may be because Direct Energy doesn't want to send you a bill for say 100x the cost of the gas you've used.

This can happen if for example you've turned your furnace pilot off for the summer, and set your hot water heater to "vacation" while away.

So how much is a bill for no gas? With administration fees, riders, "Franchise fees", fixed delivery charges, and GST, it comes out to $50. This is $600 per year per household that goes to these companies just for remaining hooked up to the gas.

What's crazy about this is that Alberta government must approve these fees, and also that the city legally requires you to be hooked up to gas. If Direct Energy has 833,334 customers (I don't know the actual number), they would be making half a billion dollars a year on extra fees.

Are there alternatives? I know EnMax is an option but I don't yet know what they offer and what their fees are like.

In my opinion, if the government legally obliges you to purchase a service (such as natural gas, or car insurance for those who drive) then they should be legally obliged to ensure that that service is available at a minimal cost. Approving $50/month in fees does not seem acceptable. Privatizing an industry, making it legally required, and allowing it to be a monopoly makes the whole thing seem like a big corrupt scam to me.