Utility Week

UTILITY WEEK | 7TH - 13TH JUNE 2019 | 25 Customers Southampton-based chal- lenger brand Igloo Energy has announced it has cut prices on its single tariff for the third time this year. The company has slashed its Igloo Pioneer tariff by 3.5 per cent, so a typical customer bill will now be £130 less than at the start of 2019. The start-up supplier also says its tariff will be £420 ENERGY Igloo Energy announces third price cut of 2019 cheaper than the big six energy companies' standard tariffs, which are set at the current default price cap of £1,254. Igloo cites the fall in whole- sale gas prices as the reason it has cut its tariff. Chief executive Matt Clemow said: "We're proud to be lower- ing our customers' bills for the third time this year." He added: "Although wholesale prices are falling, the big energy companies are still using their tease and squeeze approach, by offering cheap introductory prices to lure customers in while keeping their expensive variable tariff in line with the Ofgem price cap. "We're firmly committed to delivering the lowest prices we can to customers on our one simple tariff." This week Industry must act on vulnerable customers Report reveals 'inadequate and inconsistent' support for customers in vulnerable circumstances The energy sector must take "urgent action" to better identify customers in vulnerable circum- stances and improve the support provided, a report has urged. The independent findings by the Commission for Customers in Vulnerable Circumstances says that as a whole, the sector is not consistently meeting the needs of customers. The commission, formed by Energy UK in February last year, explores how standards of care and support could be improved in the energy industry. It consists of five commissioners from across the business, charity and consumer advice sectors. The report says the current performance of the sector is "inadequate and inconsistent", and found that the quality of support customers receive varies between companies and across the industry. The committee's recommendations include the crea- tion of an independently monitored code of conduct for suppliers to drive up standards of support, training for all frontline staff to identify vulnerable households, and strengthening Ofgem's licensing regime to ensure all suppliers are equipped to support vulnerable customers. Labour peer Larry Whitty, chair of the commission, said: "It can't be right that in such a highly regulated industry, it can be a matter of chance how – or if – you get the support required. That's why our recommenda- tions seek to make sure there is a consistent level of support across all suppliers and for all customers. "Our focus has been on what the energy industry can do itself, and in commissioning this report the industry has recognised the importance and challenge of improv- ing standards in this area." AJ ENERGY Households face £42m 'energy shock' Households are facing an energy bill increase of up to £362 (41 per cent) as 61 fixed deals across 13 suppliers came to an end last month, according to data from Uswitch. These expiring deals will add a cumulative £42 million to the bills of approximately 193,000 households, and customers on these tariffs will automatically be rolled onto their suppliers' default tariffs. Customers facing the biggest increases include those with Npower, with two expiring plans increasing by £362 and £343 respectively. Co-operative Energy and Scottish Power customers will also see increases, of £343 and £326 respectively. Responding to the data, an Npower spokesperson said: "The purpose of fixed term tariffs is to let customers take advantage of the prices available at any one point in time. Therefore when these fixed tariffs come to an end, the ones that follow them might either go up or down. Following the default price cap increase of £117 to £1,254 which came into effect on 1 April a number of suppliers, including each of the big six, raised their tariffs. Uswitch says that at £1,254 per year for the average user, plans priced at the cap level cost £381 more than the cheapest deal on offer today. WATER Business Stream appoints director Edinburgh-based water retailer Business Stream has appointed Margaret McLay as its director of business transformation. She will lead the delivery and co-ordination of the company's transformation programme as it continues with its growth strategy. McLay joined the company on 3 June and reports directly to chief executive Jo Dow. Her most recent position was head of management operations at Tesco Bank, where she was part of the team that oversaw the transition from RBS to Tesco, including the IT delivery of core infrastructure and so§ware to support the formation of the bank. Before this, she served as head of IT at HBOS, where she was responsible for end-to-end IT service. McLay said: "I am really excited to be joining Business Stream at a time of significant growth. In my new role as direc- tor of business transformation I am looking forward to working in partnership with the execu- tive team to enable the business to maintain excellent customer service levels and to achieve its strategic goals." In January, Business Stream bought the customer bases of Yorkshire Water Business Ser- vices and Three Sixty, both part of the Kelda Group. The deal is expected to take effect this summer. Committee wants a code of conduct for suppliers While wholesale gas prices have been falling recently, Ofgem sets the level of the cap months in advance so the current price cap does not necessarily reflect the current wholesale costs. Igloo announced price cuts to its Pioneer tariff in March and April, again citing a drop in wholesale gas prices on both occasions.

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