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06/04/2005
Watchdog lodges energy bill super complaint
Gas and electricity consumer watchdog Energywatch has announced that it is to lodge a 'super complaint' with regulator Ofcom over fuel bills, which, it says, is causing a "myriad of problems" for consumers.
Energywatch said that 40,000 people had contacted their helpline, complaining about problems arising from their fuel bills. The watchdog said that the complaints included: failure to deliver bills for months or even years; wrongly calculated bills; and complex billing formats which prevented customers from understanding their bills and making decisions about the cheapest suppliers to use.
Energywatch said that the calls complaining about energy bills totalled 61.5% of calls received to the helpline, making it the single greatest reason for consumer complaints. The watchdog said that combined consumer complaints and enquiries regarding billing was also increasing and, in 2004, was up 26% on 2002 figures.
Allan Asher, chief executive of Energywatch, said: “Billing is the single biggest problem consumers have with energy suppliers. Industry has consistently resisted any reform which is why we hope Ofgem will force through a radical overhaul of the billing process.”
Energywatch's decision has also been backed by former Labour Environment Minister Michael Meacher. He said: “Without accurate energy bills consumers have no idea if they are being energy efficient. For this and many other reasons I welcome the super complaint by energywatch and trust Ofgem will take their obligation to protect consumer interests seriously.”
However, the Energy Retail Association (ERA) claimed that complaints to Energywatch about billing had actually fallen by 17% over the last year and said that suppliers "make every effort" to provide accurate bills for consumers.
Duncan Sedgwick, ERA Chief Executive, said: "It is baffling that Energywatch has chosen to lodge a super complaint against a background of falling billing complaints according to its own figures. Especially since last month we announced a programme of industry-wide work to tackle billing issues. We recognise that there are occasions when customers experience difficulties and we are committed to improving this situation."
The ERA and its members have said that it will "co-operate fully" with Ofgem's inquiry into the super complaint and "will act on any recommendations accordingly".
(KMcA/SP)
Energywatch said that 40,000 people had contacted their helpline, complaining about problems arising from their fuel bills. The watchdog said that the complaints included: failure to deliver bills for months or even years; wrongly calculated bills; and complex billing formats which prevented customers from understanding their bills and making decisions about the cheapest suppliers to use.
Energywatch said that the calls complaining about energy bills totalled 61.5% of calls received to the helpline, making it the single greatest reason for consumer complaints. The watchdog said that combined consumer complaints and enquiries regarding billing was also increasing and, in 2004, was up 26% on 2002 figures.
Allan Asher, chief executive of Energywatch, said: “Billing is the single biggest problem consumers have with energy suppliers. Industry has consistently resisted any reform which is why we hope Ofgem will force through a radical overhaul of the billing process.”
Energywatch's decision has also been backed by former Labour Environment Minister Michael Meacher. He said: “Without accurate energy bills consumers have no idea if they are being energy efficient. For this and many other reasons I welcome the super complaint by energywatch and trust Ofgem will take their obligation to protect consumer interests seriously.”
However, the Energy Retail Association (ERA) claimed that complaints to Energywatch about billing had actually fallen by 17% over the last year and said that suppliers "make every effort" to provide accurate bills for consumers.
Duncan Sedgwick, ERA Chief Executive, said: "It is baffling that Energywatch has chosen to lodge a super complaint against a background of falling billing complaints according to its own figures. Especially since last month we announced a programme of industry-wide work to tackle billing issues. We recognise that there are occasions when customers experience difficulties and we are committed to improving this situation."
The ERA and its members have said that it will "co-operate fully" with Ofgem's inquiry into the super complaint and "will act on any recommendations accordingly".
(KMcA/SP)
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