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Friday 10 July 2015

Council welcomes watchdog call for reform in energy market


Cheshire East Council has welcomed the findings of the Competition and Markets Authority into the need to reform the UK’s consumer energy market.

In its report (published Thursday July 9) the CMA is highly critical of the Big Six suppliers, accusing them of profiteering and harming large groups of customers through a combination of deliberate tactics,including fostering apathy and misconceptions.

They are accused of a deliberate lack of transparency, confusing and innacurate bills and the perception of difficulties in changing providers.

The Council recently launched its own energy tariff, Fairerpower in conjunction with award wining supplier OVO energy, with the intention of taking on the Big Six and reducing fuel poverty.

After only three months over 2,000 customers are saving on average £220 which is more than the £160 average annual saving the CMA feels is achievable by most users.

Fairerpower is also attracting customers from the 60 percent of people who have never switched.

In addition, Fairerpower has also launched a Pay As You Go Tariff which is saving customers on average of £103 a year compared to the cheapest PAYG tariff.

Councillor Michael Jones, Leader of Cheshire East Council said: “I am pleased the CMA has carried out this investigation into the energy market. It was long overdue. I welcome its findings although we as a Council have not  sat back and waited for others to reform the market.”

“By successfully launching Fairerpower we are tackling fuel poverty amongst our residents while giving everyone the opportunity for a fairer deal on their energy useage.”

Fairerpower customers get:

  • Potential average savings of up to £200-£250 a year (See note 1);
  • Ability to fix contracts for 12 months;
  • No exit fees;
  • 3 per cent interest reward paid on all credit balances, up to £1,000 (See note 2);
  • Award-winning customer service.

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