Ofgem intervene following breaches in consumer protection legislation
(images: Getty Images/Adobe)
The UK energy regulator, Ofgem has been forced to investigate the solar based Community Energy Scheme (CES) UK and the Community Energy Scheme Stoke (CESS) to identify whether they have contravened consumer protection legislation through its sales and customer service practices.
CES operate a community engagement scheme where it installs Solar PVs on homes in Stoke-on-Trent and sells the electricity back to its tenants.
Following this investigation, Ofgem have now presented a selection of measures that will help to prevent any additional concerns related to the scheme.
CES and CESS have agreed to implement Ofgem’s suggested measures.
The key concerns that Ofgem, CES and CESS have addressed include:
- CES and CESS have agreed to amend existing and new contracts to include a termination clause where customers can leave their scheme at any time.
- The scheme has also been changed to include clear information to consumers about applied and estimated charges.
- Ofgem recommended that consumers who have signed up to the energy scheme, prior to the 19th of September 2019, can leave for free within a 30-day period and can add a termination clause. Leaving within the 30-day period is a one-off offer by CES and CESS.
Ofgem hope that recommending these changes, and investigating other potential issues, will have a similar effect as an authority exercising its enforcement powers.
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