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press release

COMPETITION IS THE BEST PROTECTION, SAY ENERGY SUPPLIERS

17th October 2006

The Energy Retail Association (ERA) has responded to the Government’s proposals to close down the Gas and Electricity Consumer Council (energywatch) in 2008. The report, which is the Government’s response to its consultation on consumer representation and redress was published by the DTI today.

Responding to the report the ERA’s chief executive, Duncan Sedgwick, said:

In the last three years suppliers have been working through a To Do list of issues to tackle including, doorstep sales, disconnection, customer switching, billing and metering. This report is a clear indication that the Government has recognised the effort that energy suppliers put into driving higher standards in customer services.

The average number of complaints is ten times less than three years ago, which equates to 1 in every 10,000 customers. The report concludes that the best way for customers to sort out any problems is to call their supplier in the first instance. As well as the creation of a more “coherent and efficient consumer advocacy body” to replace energywatch, the Government has also called for redress schemes to be set up in other industry sectors

Sedgwick continued, “Although it’s barely four months since the energy suppliers set up the Energy Supply Ombudsman, the Government has shown how much confidence it has in the industry to look after its customers. Customer service is rightly the number one priority for energy companies and the year on year reduction in complaints is evidence that competition is the best form of consumer protection

Ends

Notes for editors:

The Energy Retail Association established in October 2003 is the only dedicated trade association for Britain’s domestic energy suppliers. All the main energy suppliers operating in the domestic market in Great Britain are members of the association. The ERA was set up at the instigation of the energy supply industry in order to identify areas where the industry can work together for the common good without competitive advantage. As part of its work the ERA seeks to improve the profile of the sector and represent the interests of energy retailers.

The Energy Supply Ombudsman is a non profit making body funded by its members. For more information see www.energy-ombudsman.org.uk

For further information please contact:

Niki Bowles, Head of Communications and Media Relations on 0207 930 9181 or 07730 898 641
Russell Hamblin-Boone, Head of Corporate Affairs on 0207 930 9177 or 07810 374 110

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