Npower fined £2m over complaints 31October 2011
Npowerhas been fined £2m by the energy regulator for failing to handle complaintsproperly.
Ofgemhanded down the fine after investigations found that npower had failed torecord all the required details of complaints receieved and failed to providecustomers whose compalints it could not resolve with some key details about theredress service provide by the Energy Ombudsman.
Theprovider also failed in some respects to put in place adequate policies andprocesses for dealing with complaints in an efficient and timely manner,according to the regulator. Ofgem says npower has addressed and remedied allthe breaches of the regulations identified.
The movecomes after the regulator fined British Gas £2.5m in July this year for breachof the same regulations. Ofgem has also revealed it is investigating the way inwhich EDF Energy handles complaints.
A spokesperson for npower says a small number of processes were not correctlyadhered to.
He says: “Ofgem is now satisfied that all problems have been rectified and weare fully compliant with our obligations to our customers. We have zerotolerance for this type of issue and we’ll continue to work hard to make sureour customers are put first.”
A spokesperson for npower says a small number of processes were not correctlyadhered to.
He says: “Ofgem is now satisfied that all problems have been rectified and weare fully compliant with our obligations to our customers. We have zerotolerance for this type of issue and we’ll continue to work hard to make sureour customers are put first.”
SarahHarrison, Ofgem’s senior partner for sustainable development, says: “Consumershave a right to expect that energy companies will comply with the standards. Npowerfailed to do so and although it took remedial action, it has incurred a penaltyfor failing consumers.
“Energysuppliers now have a golden opportunity to convince consumers that they can betrusted, by getting behind Ofgem’s sweeping reforms for the retail market. Thisis the quickest way of restoring consumer trust in an industry badly tarnishedby poor supplier behaviour.”
Npower, in receipt ofinformation from Government departments reference the subsidy of tax payers moneytowards Winter Fuel costs, sit glibly at the end of the telephone line and donot address the concerns of customers whose bills they increased by 30%. What is so insidious is that Npower alreadyknows which of their customer’s bills they were going to increase. That 30% increase is then explained in aletter to the distressed customer as an act of overwhelming charity to thecustomer in that subsidy to a select few.
Not a word oftruth. Npower will be paid twice and thetax payer picks up the convoluted arithmetic formula that will see theelectrical supply companies profits swell at the expense of everyone. Like windpower being a viable source ofelectrical generation, just pure propaganda.
