Energy firms breaking competition law highlights ‘clear need’ for stronger licensing rules, says Citizens Advice
Citizens Advice, in its role as the official consumer champion for energy, has responded to Ofgem’s announcement that E Gas and Electricity, Economy Energy and Dyball Associates breached competition law.
Gillian Guy, Chief Executive of Citizens Advice, said:
“We’ve known for some time that suppliers who were unprepared and unsustainable were able to get into the energy supply market. Today’s action by the regulator shows firms that were willing to break the law were also able to get in.
“It’s especially troubling that the people affected were most likely pre-payment meter customers, who are more likely to be vulnerable or on low incomes and less likely to switch.
“Ofgem has taken steps to tighten the rules around who can get into the market, including a fit and proper person test. But this case shows a clear need for stronger rules on supplier conduct and close scrutiny of the management of firms.”
Notes to editors
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