Press Release
MP In Exploratory Talks With Energywatch
Local MP Tom Clarke has arranged a meeting with the energy watchdog as he hit out at significant price increase by energy companies which are crippling consumers.
The MP said:
“The issue uppermost in the minds of constituents is the rocketing price increases in both Gas and Electricity which have increased substantially and consumers are left helpless to deal with this problem. Whilst one option is to move from one supplier to another there is simply no confidence in doing so. No sooner have you moved supplier when you discover the price goes up again. Too many of my constituents are experiencing problems after changing their gas or electricity supplier in a bid to benefit from a lower price”
Research has found that a survey carried out by the Scottish Consumer Council and Energywatch Scotland has found that around one in seven people who have switched since competition started have experienced problems with the transfer process and that a similar number ended up with billing problems. More worryingly, the problems appear to be getting worse. Of people who switched almost a third had billing problems and there was an increase in the number of people experiencing difficulties during the transfer.
The MP added:
“My concern is for everyone but especially for elderly people, single parent families and low income families. I have requested a meeting with Mr Graham Kerr of Energywatch Scotland to explore some ideas and options that I have which may begin to insulate consumers against these exorbitant increases. It is far too premature to raise the expectations of consumers that I can resolve this problem, but I would like constituents to know that I consider this to be a major issue that needs addressed somewhat urgently”.
The MP accused Scottish Power of treating consumers, "unfairly after it announced plans to raise electricity and gas bills on the back of a 47% increase in profits to £675million. It is important that I work towards devising a strategy that is in the interest of consumers and able to withstand the almost monopoly of power enjoyed by energy companies”.
Mr Clarke continued:
“There are energy companies making large profits at the same time as increasing domestic bills, which in my view is unfair to consumers. While it is important that Scottish companies are successful, surely there is a balance to be struck between profits made by companies and the prices they charge to consumers. We should be mindful at all times of the fact that many people are struggling to pay the latest increase in fuel bills and will no doubt be wondering why prices need to rise again and again when profits are so healthy."
Mr. Graham Kerr, a spokesman for Energywatch Scotland, who Mr Clarke is scheduled to meet this coming week said, "Scottish Power and its competitor should show their commitment to helping their most vulnerable customers by introducing effective, targeted social tariffs that ensure their poorest customers pay the lowest possible price for electricity and gas.
If they haven't already done so then companies can stop the poor paying more by reducing pre-payment meter prices and bring them into line with standard tariffs. Protection for vulnerable gas and electricity consumers is under review and some safeguards could vanish unless groups representing vulnerable consumers can show why they are still needed. That’s why I am very pleased to be meeting Mr Clarke.”
Mr Clarke concluded: “Energy price rises are outstripping rises in incomes so there is a need for MP’s such as myself to look closely at how we can deliver our promise to eradicate fuel poverty. Joined-up thinking is needed if we are to ensure the poorest people no longer have to make tough choices between heating and eating. I look forward to meeting Graham Kerr of Energywatch and at this stage I am quietly confident that I possess a range of ideas that are purely in the interests of consumers being able to enjoy a far better deal than hitherto has been the case”.