The French energy giant Engie has launched a new tracker tariff for UK households, which it claims will provide fairness and transparency.
Under the tracker price plan, ENGIE will update its prices every month, passing any savings on to the customer when the market falls and raising customer bills when the market rises.
The company said the tariff will also protect customers from price spikes by capping the amount charged for the cost of the energy, based on the variable unit rate.
In addition, it has no exit fees and a discount is available to dual fuel customers.
But the tariff will not be available for pre-payment or on non-standard meter types.
To accompany the launch, Engie published also published the details of a poll over more than 2,000 UK households, which revealed one in five do not understand their energy bills.
The survey also found one in 10 do not know roughly how much they are paying for energy.
The chief executive of Engie in the UK and Ireland, Wilfrid Petrie, said the tracker tariff is an “important part of our commitment to fair, clear and transparent pricing”.
“We know some customers will prefer the peace of mind that fixed contracts offer while others will appreciate their energy bills being linked to the actual cost of wholesale energy,” said Petrie.
“We want to make sure that we offer a price plan to suit everyone.”
Engie launched its UK home energy business in May with a rollover price promise to switch customers to the cheapest tariff at the end of their fixed term.