Introducing the ANSI Tracker Programme


 

ANSi tracker Issue 1- what you need to know

ANSi tracker is designed to track the actual wholesale price of LP Gas on the world markets as set by ANSi (Argos North Sea Index) which is an independent organisation that tracks prices at which wholesale gas is purchased. This therefore means that you will always pay exactly the same margin to Lister Gases when we deliver your gas. When ANSi prices are higher you will pay more, but when lower your price will automatically reduce. Prices change on the first working day of every month and are posted on our ANSi website page. Our supply agreement is for two years, after this period you may wish to rejoin a new ANSi tracker product at that time, or return to our standard contract. If you choose to do nothing, your price will return to our Standard (Retail) delivery rate at that time. Our top up service, direct debit and budget plan arrangements are all available with this product. Tank rental charges are £50.00 per year for above ground tanks and £75.00 for underground tanks.  

What we ask of you

We do require your annual usage to be over 2500 Lts year, if your usage drops below 4000lts for the two year contract an additional rental charge will be raised at the end of the two year contract for £150.00. We also request that when you order you fill your tank not order part loads.   

 

Questions and answers

Q. Why have Lister Gases Limited launched this product?

A. Since the changes required by the Competition Commission came into force a few years ago making it easier for Domestic heating customers to change suppliers, we have seen a large increase in ‘Special Offers’ by the larger suppliers who are trying to increase their customer base. The offers appear very attractive, but unfortunately in most cases they really are too good to be true.

 

Q. Why won’t you give similar offers, and why have you decided ANSi tracker is the way forward?

A. The ANSi tracker price is very open with monthly pricing being clearly visible and transparent, what we promise is what you get. Some of the offers that we have seen from our competitors include,

 

Prices being offered at below market price that are fixed for 12 months, but they have a clause that says if prices increase to them they may increase your price! Or if this isn’t the case they have a clause that allows them to claw it back in year 2.

 

Prices offered below market price with a guarantee that prices will only rise by a maximum of 3p ltr in every 3/6 month period. This translates to they WILL increase your price every 3 months by the maximum amount so you end up paying up to 24p per litre more by the end of 2 years.

 

They promise to fix your price but if they break this promise they will allow you to terminate your contract, but if you do terminate you are liable for a charge of hundreds of pounds in removal fees.

 

Lister Gases Ltd does not believe that this type of trading is neither acceptable nor good in the long term for our current or prospective customers and also for our company.

 

Q. Why must I use a certain amount and order full loads?

A. This deal is very competitive, to pay back the cost of your equipment we need a certain amount of usage from it. Part deliveries mean we have the costs in delivering twice instead of once.

 

Q. If the product tracks the real price of LPG why can I only sign for two years?

A. Competition Commission rules state the maximum period of contractual exclusivity is now two years.

 

Q. Will the ANSI tracker price always be cheaper than I was on a standard contract?

A. Probably not, as our standard contract aims to smooth out some of the highest and the lowest prices for gas during the year. What the ANSI tracker does however do is give complete transparency that the price you are paying is the correct price, based on the current month’s wholesale market price.  

 

Q. You state that after two years there will be a new ANSi tracker product available, why can I not continue with the same product and price ongoing?

A. One thing we can be sure of is that our operating costs will increase over the years. Vehicles, tyres, repairs, driver’s wages and fuel are all open to increases in cost which we need to take into consideration. Whenever it is required to increase our gross margin to cover rising costs, we will launch a new tracker product and discontinue the old product for new customers. THIS DOES NOT AFFECT THE ANSi TRACKER DEAL WHICH YOU ARE CURRENTLY SIGNED TO. WE GIVE AN ABSOLUTE GUARANTEE THAT WE WILL NOT INCREASE OUR MARGIN DURING THE ENTIRE TWO YEAR CONTRACT PERIOD

 

Q. So what’s the downside of this deal

A.  If LPG prices have a massive spike your ANSI tracker price will probably increase quicker than if you were on a standard contract. Also if you do nothing after two years, your price will return to our standard delivery rate so it is therefore in your interest to renew as soon as your contract expires.

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