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Utility Week 2nd February 2018

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UTILITY WEEK | 2ND - 8TH FEBRUARY 2018 | 25 Customers Market view E nergy the, otherwise known as "meter cheating", is a serious issue for energy companies across the UK, with industry experts estimating that more than £400 million-worth of electricity and gas are stolen each year through meter tampering. This issue does not just affect energy sup- pliers. It's also having a detrimental effect on cash-strapped consumers, because offences can add £20 to the average household bill. What's more, meter tampering also poses a serious threat to public safety, leaving con- sumers with unsafe gas and electrical equip- ment, which in turn can put them at risk of electric shocks, fires, and even explosions in extreme cases. Energy companies have a commitment to Ofgem to do as much as they can to allevi- ate the problem, and careful and proactive detection and investigation is therefore cru- cial. To be successful we must ensure we have the right levels of focus, expertise and resources devoted to the problem. This is where highly trained field teams come in. While there are some obvious forms of energy the, such as damage to the meter itself or missing dials, other instances of tampering can be more clandestine and are likely to go unnoticed by those without a well-trained eye. This underlines the impor- tance of specialist investigation personnel who are trained to spot every occurrence of energy the, no matter how subtle. An understanding of meters, although essential, is not enough on its own. A strong awareness of surroundings and an inquisitive nature are essential skills. For example, clues such as partially warm radiators and flue gasses can be helpful indicators at a property with no registered consumption. Many providers will have in-house field teams, however sector pressures, such as the widespread rollout of smart meters, are tak- ing up vital field resource and inhibiting their ability to effectively deal with energy the. Field teams must be able to act quickly and decisively when a suspected case is brought to their attention – and where there is a serious safety concern, visiting the same day is essential. Energy businesses must therefore have resource to cover the entirety of the UK, rather than just "hotspots" where energy the is more prevalent. Energy providers who perhaps do not have sufficient time or in-house resource to devote to energy the detection should consider outsourcing the task to a special- ist team, who will have dedicated, trained staff and infrastructure on call to manage the whole process from end to end. The customer-centric approach As important as effective investigation skills is strong customer service. This is because detection officers must be capable of dealing with oen challenging and difficult circum- stances effectively, while remaining sensitive to the individual needs of the customer. It's also important that guilt is not assumed from the outset and that a sensitive approach is taken at all times. If a tamper has been positively iden- tified and the site subsequently made safe, the issue of out- standing arrears must be discussed with the customer, necessitat- ing additional expertise in effective debt col- lection and recovery. What is more, further skill is needed in determining exactly how much energy has been stolen to date, and backdating the charges accordingly. And, where the property in question cannot be accessed, obtaining and executing a warrant may be required. The benefits of a multi-skilled field team cannot be underestimated. Of course, not every investigation will confirm illegal activity. It is perfectly plausi- ble for a new homeowner or tenant to have inherited a meter that has been tampered with previously or is simply faulty. These situations are delicate and have the poten- tial to quickly escalate, creating irreparable damage to both customer relationships and brand reputation, meaning visits must be handled with care and empathy. In this – and another reason why proac- tive customer engagement is so important – lies an opportunity to connect with more vulnerable customers who, while not having done anything illegal, may be living with dif- ficult circumstances, such as social depriva- tion or ill health, which may otherwise have gone unnoticed by their energy provider. The time to act is now Taking proactive steps to prevent more instances of energy the certainly needs to be treated as a matter of priority moving forwards. Initiatives such as the The Risk Assess- ment Service and the Energy The & Tip Off Service are a great start and are no doubt invaluable in providing leads. However, we need to be doing more to improve detection and investigation on a local level if we are to better combat this dangerous issue. A positive way to do this is for field investigation teams to become more involved in their local communities and with third par- ties, forging strong relationships with key groups such as local authorities, relevant charities, meter reading providers and debt collection agencies. This both raises aware- ness of the issue of energy the and enables wider detection of offences when they occur. Greater detection and investigation of energy the is not just a financial obligation for the sector– it is a serious moral issue too. While the financial implications should not be ignored, doing the right thing through safeguarding the health and wellbeing of customers and the wider community is a fundamental responsibility that cannot be ignored. As a sector, it is high time that we placed tackling energy the higher in our priority list, and that needs to start now. Lloyd Birkhead, group managing director, Grosvenor Services, part of Echo Managed Services Getting a grip on energy theft Energy theft is a serious problem that threatens the safety of customers as well as having financial consequences, and it should be higher up utilities' agendas, says Lloyd Birkhead. "Detection officers must be capable of dealing with often challenging and difficult cir- cumstances effectively, while remaining sensitive to the indi- vidual needs of the customer."

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