RWE Npower Guilty of Misleading Customers
By Anne Lewis-Schneider
The British Energy Regulator Ofgem conducted an investigation into RWE npower, which it found had given misleading and inadequate information when customers were trying to find cheaper suppliers of dual fuels between 2010 and 2012. Customers who wished to explore other options were not provided with the necessary information by npower to allow them to make an informed decision, and it was also found that direct debit payment information was not accurately reported.
RWE npower says that the issues that were identified by Ofgem have since been rectified and resolved. The company has agreed to pay restitution to the amount of £3.5 million to what are called vulnerable clients as a penalty for the inaccurate information given out. Under the UK’s Warm Home Discount, each customer of RWE npower that receives government support will get a minimum of £25 returned to them. Ofgem is there to make sure that energy suppliers are not taking unfair advantage of their customers and has the power to impose fines should a company be found to have defaulted. This is not the first time this year that Ofgem have ruled against an energy supply company. Earlier in 2013 one of the Big Six Energy Companies, SSE was reprimanded for using misleading sales tactics and was ordered to pay the sum of £10.5 million.
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