Consumer Focus - Business and Enterprise Committee Contents


Memorandum submitted by Consumer Focus

1.  LINKS TO THE PREVIOUS ORGANISATIONS' WEBSITES IN ORDER TO ACCESS REPORTS AND PUBLICATIONS ETC

  Links to each of the legacy organisations can be found on the Consumer Focus website here:

  http://www.consumerfocus.org.uk/Publications/

2.  ARRANGEMENTS WITH ADVICE AGENCIES SUCH AS CITIZENS ADVICE, INCLUDING THE "ADVISE THE ADVISERS" AGREEMENT

Overview of New Arrangements

  In the energy sector, Consumer Focus' new tasks will include a number of key roles that had previously been the responsibility of energywatch. These include:

    —  Representing the consumer voice in the regulatory and government sphere.

    —  Working with energy companies and the regulator to resolve issues of consumer detriment.

    —  Publishing consumer education materials including leaflets and price comparison fact sheets. These will be available on the Consumer Focus website and consumers without internet access can telephone Consumer Direct to ask for a printed version.

    —  Maintaining an online Knowledge Base with detailed information about energy issues including regulatory requirements, tips on how to resolve complaints, definitions of industry terms, and contact details for energy companies.

    —  Operation of the Confidence Code for energy price comparison sites.

    —  Publishing energy complaints performance information to help consumers make informed switching decisions and incentivise improvements in customer service performance.

    —  Handling complaints from certain categories of energy consumers—those who have been disconnected or are off supply, those who are at risk of disconnection as well as complaints from vulnerable consumers.

    —  Handling complaints from MPs, MSPs and AMs.

  Additionally, there are other changes on 1 October:

    —  Energy companies will be subject to new and stringent set of complaint handling standards that have been set by the regulator Ofgem. These standards apply to all complaints from domestic and micro-business consumers made to suppliers and energy network businesses.

    —  Consumer Direct will take over energywatch's role in providing independent help and advice to energy consumers. It will also refer consumers to bodies that might be better able to assist. Consumer Direct will refer all consumers it identifies as being vulnerable, threatened with disconnection or who have been disconnected to Consumer Focus.

    —  Consumers who have been unable to reach a satisfactory solution with their energy company will be able to take their complaint to the Energy Ombudsman. It will now have the power to look at all types of energy complaints including complaints about the service provided by gas or electricity network companies. Suppliers have a set time limit during which they can attempt to resolve the complaint. The time limit is currently eight weeks for the six major suppliers and 12 weeks for smaller suppliers.

Providing advice and guidance to advice agencies on energy complaints

  Consumer Focus will provide a telephone based Ask the Advisor service for advice agencies. Agencies can ring the service and obtain advice or tips on how to resolve a particular consumer complaint.

NOTE:   This service will not accept consumer complaint referrals. Agencies should contact Consumer Direct if they believe their client is eligible for referral to Consumer Focus.

3.  RESPONSIBILITY FOR CONSUMERS WHO ARE OFF THE GAS NETWORK AND RECOGNISED THEY NEED PROTECTION

  Consumer Focus will be conducting a review of how all customers regardless of where they live and what type of fuel they use. The following press comment was issued on 27 January 2009.

  "Over 4 million households cannot access mains gas and use other fuels such as electricity, domestic heating oil and LPG to heat and cook. Price rises in domestic heating oil and LPG have spiralled even higher than those in gas and electricity, so oil and LPG consumers are facing much higher costs than the average energy consumer.

  "Some of the suppliers are offering discounts to their in area electricity only customers, but savings are small. Consumers should check what is in their best interests by comparing prices. Ideally, the best means of providing affordable heating for households in off-gas areas is to install microgeneration measures such as heat pumps, solar water heating and bio mass boilers. However, for many people, this is just not feasible. Consumers should contact the Energy Savings Trust advice centre (0800 512 012).

  "Consumer Focus will be conducting a review of how all consumers are served in the energy sector. The results will help shape policies that should benefit consumers no matter where they live or what type of fuel they use in their homes".

10 February 2009





 
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