Contact Energy has revised its prompt payment discounts – and existing customers may be worse off.
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Prompt payment discounts (PPDs) are the discounts you receive for paying your bills on time. From 10 December 2012, Contact has increased its PPD for residential dual-fuel customers from 10 percent to 15 percent. However, a previous additional discount of 40 cents per day for dual-fuel customers has been abolished. This means you’d need to spend $3358 a year to break even – anything less than that and you’re worse off.
If you are an Online Ontime dual-fuel customer you continue to receive the original 22 percent discount. But you also lose the previous 40 cents per day discount, meaning you’re worse off by $167.90 a year.
You can receive either the 15 percent discount or the 22 percent discount – not both.
So it's a discount unless you were already receiving the discount, in which case it’s an increase.