The CEO of Ofgem has welcomed a review into his own organisation.
Labour has ordered a review of the remit and role of the regulator, in view of the changing goals and operations of an energy sector in transition. Stakeholders across the energy sector, will have until February to respond and give feedback on everything Ofgem does and the future role it should have.
Jonathan Brearley the boss of the regulator, says he is glad the review has been ordered:
This review is a great opportunity to help make sure Ofgem is a fully consumer-focused champion with the powers needed to protect customers, drive up standards in the market today and empower the market to innovate and produce renewable energy for a low carbon future tomorrow.
I have spoken to the Energy Secretary Ed Miliband and the Minister for Energy Consumers Miatta Fahnbulleh and I know they are both deeply committed to protecting vulnerable consumers and delivering on their 2030 clean power mission. “
He added: “We will continue to work closely with them, as well as across government, the industry and consumer groups, to ensure Ofgem is fully equipped to enhance standards, protect consumers in a changing energy landscape and support the government’s ambitious energy goals.”
Consumer group Which? Has also said the review is needed now.
Rocio Concha, Which? Director of Policy and Advocacy, said: “Which? has been campaigning for better customer service in the energy sector so we are pleased to see the government’s review of Ofgem include a clear focus on this.
“Our research has found that energy is one of the worst sectors for customer service – with Scottish Power and British Gas the worst performing energy firms in this area, according to our recent survey.
“It is never OK for firms to provide sub-standard customer service, but in an essential sector which provides a vital service millions rely on every day, it is completely unacceptable. The government must use this review to ensure that customer service standards improve and suppliers up their game.”
And Ed Dodman, Managing Director and Chief Ombudsman for Energy, the body often tasked with sorting out the mess when disputes happen, says it’s time for tougher rules.
He said: “Energy Ombudsman welcomes the government’s review of Ofgem to strengthen the energy regulator..
“The energy crisis underscored the importance of a robust regulatory framework that prioritises consumer needs, holds suppliers to account, and builds confidence in the sector, and a strengthened regulator will be instrumental in achieving this goal.
“We look forward to learning more and collaborating with the government, Ofgem, and industry stakeholders throughout this review process.”
