Gas tariff cuts at Scottish Power and EDF Energy come into force from today, lowering energy bills for millions of their customers.
Scottish Power is lowering its gas prices by 16.5 per cent while EDF Energy is slashing prices by 10.2 per cent.
The two firms announced the reductions on April 30th, one week after energy watchdog Ofgem publicly urged customers at the companies to switch suppliers because they were being charged excessive tariffs.
Scottish Power's director of energy retail, Willie MacDiarmid, said at the time the move showed his company was committed to achieving "value for money in the longer term" for its customers. EDF chief executive Vincent da Rivaz said his company "listens very carefully".
But the two firms, following in the wake of a British Gas price cut for the second time in six weeks, have been criticised for not cutting prices enough to cover price hikes in the last three years.
According to Karen Darby of price comparison website simplyswitch.com gas prices have risen by 80 per cent since January 2004 and electricity costs have gone up by 50 per cent in the same period.
Ms Darby said customers could make "great savings" by switching suppliers.
"So far, none of the suppliers has reduced prices by anywhere near the amount that they raised them in the preceding 12 months, nor has anyone reduced prices in line with the drop in wholesale costs," she said.
"These recent price drops only go a small way towards redressing the balance. Switching not only reduces household bills, but also helps boost competition and ultimately drives down prices."
Digg 
Delicious 
Reddit 
StumbleUpon 
Google 
Technorati 
Netvouz