Ofgem calls for views on non-domestic energy market

By Nikkie Thatcher

- Last updated on GMT

Deadline looming: the call for input closes on 31 March (image: Getty/John Lamb)
Deadline looming: the call for input closes on 31 March (image: Getty/John Lamb)

Related tags Legislation ukhospitality British beer & pub association Finance

Energy regulator Ofgem has called for stakeholders to share their views of the non-domestic retail utility market.

It outlined how it was concerned about the reports of consumer harm and has identified a number of issues.

It is looking into where and whether the problems are temporary or isolated to specific suppliers or if systemic issues show regulation changes are required.

Furthermore, Ofgem is also conducting compliance checks on suppliers and reviewing supplier data.

It stated while affordability is a Government matter, the energy regulator also wrote to non-domestic suppliers to set out the good behaviours expected through any debt and disconnection pathways at a time customers are struggling to pay.

Influencing factors

The document from Ofgem outlined how several factors were contributing to higher energy bills including the hike in gas and electricity wholesale prices.

Other factors mentioned were high energy market volatility alongside a challenging economic market generally.

It outlined how there had been non-domestic customers reporting they had been struggling to find offers from suppliers to contract last year.

The call for input is asking if customers have seen a rise in contract offers this year or if parts of the market still struggling to secure contracts.

The deadline is the end of this month (Friday 31 March) for views on the business utility market to be collated.

Intervention required

UKHospitality (UKH) chief executive Kate Nicholls shared on social media that she was meeting with Ofgem today (Friday 10 March).

Earlier this week (Tuesday 7 March), UKH called for Ofgem to intervene​ in a letter to energy security and net zero secretary of state Grant Shapps.

This followed on licensee who told The Morning Advertiser ​the Government needed to tell energy suppliers​ to “stop being greedy” and allow businesses to renegotiate contracts after being “duped” into agreeing to “inflated prices”.

Moreover, the British Beer & Pub Association (BBPA) reiterated calls for the Government to hold energy suppliers to account​ for “poor practice”.

Should you wish to air your input, more information can be found here​.

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