  THUMBS
DOWN FOR ELECTRICITY SUPPLIERS BY SMALL BUSINESSES
Energywatch Press Release – 25 Sep 2007
A survey of over 2400 small firms across Great Britain
shows suppliers’ performance in sales, supply switching, contract renewal, meter
reading and billing is often well below expectation.
-
None of the big six electricity
suppliers reaches
even a ‘satisfied’ rating.
-
Only 50% of British Gas Business customers
would recommend their electricity supplier,
compared to 71% for Scottish and Southern
Energy.
-
On billing: amongst those who were dissatisfied,
inaccuracy causes dissatisfaction in 52% of cases;
estimated meter readings were the cause of the
inaccuracy in 51% of these cases.
-
More businesses are dissatisfied with the process
of complaining (58%) than with the outcome of a
complaint (42%).
The research measured the experience of customers
of the six main electricity suppliers: British Gas
Business, EDF Energy, npower, Powergen, Scottish
and Southern Energy and ScottishPower. Satisfaction
with British Gas Business (BGB) is significantly
lower than the overall average.
Inaccurate billing, infrequent meter reading, lack of
information, slow response to complaints, pressure from suppliers and skills and
experience of staff were among the key issues small firms are dissatisfied with.
Paul Savage, Business Services Manager of energywatch said: “This research confirms what
our own data has been telling us for some time, that
suppliers are failing small businesses in the most
basic aspects of service such as billing, contract
renewal, switching, meter reading and complaint
handling”.
“The results should compel suppliers to refocus and
make service to small businesses a priority. For too
long small businesses have been denied information
to compare suppliers for price and service so they
have to rely on sales pitches. We want to see a
marketplace where good service is rewarded, poor
service is shunned and where small businesses are
able to influence the market by making informed
choices”.
Adam Scorer, Director of Campaigns of energywatch commented: “Customer satisfaction
results for this sector make grim reading. Ten years
after the energy market was opened to competition,
suppliers are taking small businesses for a ride,
trading on their lack of knowledge and information
to write restrictive, punitive contracts and provide
shoddy customer service. As energy consumers,
small businesses are disregarded, yet they make up
95% of the UK economy”.
Energywatch is calling for decisive action from
Ofgem, suppliers and government to improve
the experience of small businesses as energy
consumers.
Ofgem should prescribe effective complaint handling
standards and ensure consistency and transparency
in the market.
Suppliers should move quickly to improve meter
reading and accuracy of bills, and should accelerate
programmes for smarter metering.
Supplier codes of practice should be developed
to improve transfers, contract renewal and the
behaviour of sales agents.
The recently announced review of small business by
the Secretary of State at the Department for Business,
Enterprise and Regulatory Reform (BERR), must
include a review of consumer protection measures
for small businesses. |
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