How much does my heat cost and how is the heat price determined?

Loka supplies heat based on two charges only: a Fixed Charge (£343 per year inc. VAT) and a Unit Charge (7 pence per kilowatt hour (kWh) inc. VAT) - prices as of 2016. Based on these charges, an average home using around 3,000 kWh of heat per year will pay a total annual heat bill of £553.