Npower cuts off more customers than other suppliers
October 4, 2008
According to a recent report the UK energy giant Npower has been cutting off more customers than any other supplier, which has raised concerns amongst regulators and watchdogs. Officials from the energy regulator Ofgem have stated that the energy supplier must do more to help customers that are struggling to pay their energy bills, rather than simply cutting them off and leaving them stranded, particularly given the financial strains hitting most households, which have not been helped by rising energy prices.
In 2006 Npower was found to have cut off around 70 customers in every 100,000 for failing to pay bills. The energy company that came second in terms of the number of customers cut off for non-payment was EDF, but even so Npower was still cutting off twice as many customers as EDF in 2006. Officials from Ofgem stated that improvements have been made by rival suppliers, and that Npower needed to make changes to its procedures.
Ofgem chief executive Alistair Buchanan, stated: “At a time when some energy suppliers have announced double-digit price rises, it is vital that suppliers ensure they are offering the best support to people in debt or danger of falling into debt. This is why Npower must do more to match the best practice set by the leaders in this field.”
He added: “Disconnections are down significantly from the record levels seen in 2001, but there are no grounds for complacency and the report highlights some key areas that need further attention by all suppliers.” However, an Npower official responded by stating: “Higher disconnections are not due to poor processes. A supply disconnection is only ever carried out as a last resort after a painstaking 14-step process and multiple attempts being made to resolve the issue with the customer - we never disconnect vulnerable customers.”
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