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Last Updated: Monday, 26 April, 2004, 10:52 GMT 11:52 UK
Safety net for energy customers
An ink stamp which reads
Firms want to help vulnerable customers
Energy firms have announced safeguards to prevent vulnerable customers having their gas or electricity cut off.

It comes after pensioners George and Gertrude Bates were found dead in their home in South London, last October, 13 weeks after their gas was cut off.

The Energy Retail Association (ERA), which represents suppliers, proposes "safety nets" to protect vulnerable customers by clarifying procedures.

The elderly, disabled, sick, and social services clients, should benefit.

ERA said the "vulnerable" term could also extend to other groups.

'Prior consent'

One suggestion to help these customers is to fit pre-payment meters to avoid them falling into debt.

When customers mount up debt, the ERA says firms should try to meet them in person to offer assistance and to determine their degree of vulnerability.

No supplier wants to cut off the gas or electricity of a frail elderly person or someone who would be at risk without adequate heat and light
Duncan Sedgwick, chief executive ERA

This information would then be held on their records.

Where staff have concerns about a vulnerable customer, the ERA recommends suppliers alert appropriate organisations to pass on relevant information.

"Where possible, the customer's consent will be obtained, but if necessary, referral will be made without prior consent," according to the proposals.

"This will only be done where all other available options have been explored and the customer is judged to be at real risk."

'Proper safeguards'

The recommendations were published today by the energy regulator Ofgem at the start of a consultation which ends on 4 June.

Sir John Mogg, chairman of Ofgem, said: "These proposals demonstrate a real commitment by industry to identify and protect vulnerable customers."

And energy minister Stephen Timms said: "It is vital that arrangements governing disconnections contain proper safeguards for all customers, and particularly vulnerable customers."

Allan Asher, chief executive of gas and electricity watchdog Energywatch, said: "The efforts to clarify the definition of vulnerable groups and the recommendations for further safeguards in the disconnections process are welcome.

"We look forward to working with the industry to fine tune these proposals with a clear timescale of when they will be implemented."

'Common-sense measures'

Duncan Sedgwick, chief executive of the Energy Retail Association, said: "No supplier wants to cut off the gas or electricity of a frail elderly person or someone who would be at risk without adequate heat and light.

"Energy company advisers speak to millions of people on the telephone each day. It can be sometimes be very difficult to judge a person's financial and social circumstances.

"Our paper proposes some common-sense measures to help companies double check that a customer would be not be at serious risk if the gas or electric was cut off."

Mr and Mrs Bates' supply was disconnected for not paying a �140 bill. An inquest heard Mr Bates, 89, had died of hypothermia, emphysema and coronary heart disease and his 86-year-old wife from coronary heart disease.

British Gas, which supplied the couple, told the hearing the Data Protection Act had prohibited them from alerting social services.

But Information Commissioner Richard Thomas said details could have been passed on if the disconnection had posed a "significant risk".




SEE ALSO:
New rights for energy consumers
02 Feb 04  |  Business
End of road for 'debt-blocking'
31 Oct 03  |  Business
Late energy bills 'causing debt'
13 May 03  |  Business
Q&A: Switching energy supplier
09 May 03  |  Business


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