EON - CMA report - Economy 10 problems

You

Does anyone know exactly what the situation is with the CMA report and restricted meters?

I have had an Economy 10 meter with EON for some reason due to previous occupants - there is no storage heater, so I have no idea why they had it. When I moved in it was on the standard expensive single rate tariff with the two readings combined to one total.

I have been banging my head against a brick wall for a very long time with EON to try and change to a cheaper tariff. Repeatedly promised calls back which never came. Told that they would install a smart meter but that never happened. Lots of calls being moved around and then hung up on before it got to the 'right team'.

I lodged a complaint and was eventually told by their resolution team in writing that it was a 'business decision' not to offer the fixed single rate tariffs to customers with restricted meters and that the only way I could get access to any of the cheaper single rate plans or move to another supplier was to pay to have the meter changed at my expense (£65 pounds).

Given the fact that it took me dozens of phone calls and over a year to get this far, I wasn't happy about having to pay this but agreed to pay for the meter change as I was so desperate to reduce my bills and get off the expensive standard single rate tariff that I was trapped on.

In the next three weeks before the meter was changed last week I found out about the CMA report and its requirements that by September energy companies open up all tariffs to customers with restricted meters.

I asked the resolution team if this was correct and that their 'business decision' was going to be forcibly changed come September as I wouldn't go ahead with a meter change if that was the case. I was also quite shocked that their resolution team hadn't informed me that I didn't need to pay to change the meter as in two months they would have to offer me the cheaper tariffs anyway.

A slow back and forth over email ensued where I sent multiple links to the appropriate sections of the CMA report and guidance, Citizens Advice links and the Ofgem letter on the issue.

The EON resolution team said it was all news to them and insisted that the only requirements on them come September are to provide customers with restricted meters a bit more clarity about the tariff they are on. Despite all the links I have sent them, they are claiming ignorance of any requirements to make the cheaper single rate tariffs available to customers on Economy 10 in a few months.

They have offered me £20 good will gesture for their 'poor service' but are still insisting on charging me for a meter change that as far as I understand wasn't needed.

Can anyone clarify if EON are in fact going to be legally obliged to change their 'business decision' and open up all tariffs
to customers on restricted meters or if everything I have read on line is wrong and their resolution team is right?

I have suggested to the complaints resolution team that a more reasonable resolution would be to offer £65 good will gesture to cover the cost they have charged me for the meter change, but they are still adament that the CMA report doesn't say what I think it does and that they won't change their offered resolution of £20.

Incidentally, it was a very simple meter change. The guy just swapped out the old ecnomy 10 meter to a new single rate one. No wiring changes needed or anything like that. In and out in half an hour.

Should I just accept the £20 good will, pay the £65 added to my account for the meter change and move to an energy company that doesn't treat customers so badly?

Former_E.ON_Company_Representative:_Malc

You wrote: »

Does anyone know exactly what the situation is with the CMA report and restricted meters?

I have had an Economy 10 meter with EON for some reason due to previous occupants - there is no storage heater, so I have no idea why they had it. When I moved in it was on the standard expensive single rate tariff with the two readings combined to one total.

I have been banging my head against a brick wall for a very long time with EON to try and change to a cheaper tariff. Repeatedly promised calls back which never came. Told that they would install a smart meter but that never happened. Lots of calls being moved around and then hung up on before it got to the 'right team'.

I lodged a complaint and was eventually told by their resolution team in writing that it was a 'business decision' not to offer the fixed single rate tariffs to customers with restricted meters and that the only way I could get access to any of the cheaper single rate plans or move to another supplier was to pay to have the meter changed at my expense (£65 pounds).

Given the fact that it took me dozens of phone calls and over a year to get this far, I wasn't happy about having to pay this but agreed to pay for the meter change as I was so desperate to reduce my bills and get off the expensive standard single rate tariff that I was trapped on.

In the next three weeks before the meter was changed last week I found out about the CMA report and its requirements that by September energy companies open up all tariffs to customers with restricted meters.

I asked the resolution team if this was correct and that their 'business decision' was going to be forcibly changed come September as I wouldn't go ahead with a meter change if that was the case. I was also quite shocked that their resolution team hadn't informed me that I didn't need to pay to change the meter as in two months they would have to offer me the cheaper tariffs anyway.

A slow back and forth over email ensued where I sent multiple links to the appropriate sections of the CMA report and guidance, Citizens Advice links and the Ofgem letter on the issue.

The EON resolution team said it was all news to them and insisted that the only requirements on them come September are to provide customers with restricted meters a bit more clarity about the tariff they are on. Despite all the links I have sent them, they are claiming ignorance of any requirements to make the cheaper single rate tariffs available to customers on Economy 10 in a few months.

They have offered me £20 good will gesture for their 'poor service' but are still insisting on charging me for a meter change that as far as I understand wasn't needed.

Can anyone clarify if EON are in fact going to be legally obliged to change their 'business decision' and open up all tariffs
to customers on restricted meters or if everything I have read on line is wrong and their resolution team is right?

I have suggested to the complaints resolution team that a more reasonable resolution would be to offer £65 good will gesture to cover the cost they have charged me for the meter change, but they are still adament that the CMA report doesn't say what I think it does and that they won't change their offered resolution of £20.

Incidentally, it was a very simple meter change. The guy just swapped out the old ecnomy 10 meter to a new single rate one. No wiring changes needed or anything like that. In and out in half an hour.

Should I just accept the £20 good will, pay the £65 added to my account for the meter change and move to an energy company that doesn't treat customers so badly?

Hello You and I'm sorry this has taken so long to sort out.

Following their report last year, the Competition and Markets Authority (CMA) introduced a number of new protections for customers with restricted meters like Economy 10. We're currently working on these measures and are looking to have the results in place later this year. One of the things we're looking at is making single rate tariffs available for all the restricted meters we supply. I don't have an exact timeframe yet but will post on these Forums when I've more information.

Just to confirm, with non-essential meter exchanges, we currently charge £64.76 for this work. Two rate Economy 10 meters are relatively new and there is a charge to change these. This doesn't apply where meters are faulty, for older 3 rate Economy 10 meters or if a smart meter is fitted. At the moment, we're not replacing Economy 10 meters with smart meters. Again, this is something we're looking to do as our smart programme continues.

Sorry this is too late for you but hope it explains where we're currently at.

Malc

You

E.ON_Company_Representative:_Malc wrote: »

One of the things we're looking at is making single rate tariffs available for all the restricted meters we supply. I don't have an exact timeframe yet but will post on these Forums when I've more information.
...
Sorry this is too late for you but hope it explains where we're currently at.

Malc

Hi Malc. Thanks for your message, but it doesn't really answer my questions.

Does the CMA report compel energy suppliers with more than 50,000 customers to open up all tariffs to those with restricted meters like economy 10?

If it does, is this not supposed to be implemented by September?

If opening up tariffs to all customers is required very shortly, why have the resolution team been telling me all the way through that they know nothing about any such requirements?

If it does compel you to open up all tariffs to restricted meters customers, then I'm sorry but with all due respect, the business decsion you make on how it is implemented is ultimately EON's choice, whether it be to simply continue with the same meters but open up the cheaper tariffs, or offer free meter changes. The issue for me and other customers is simply to tell us whether one way or another you will be changing your business decision of not offering the cheaper tariffs to people in my circumstances.

Finally, you say it is too late, but frankly I don't see it that way. I am at a loss to understand why I should pay £65 for a meter change that the CMA report seemingly suggests was not necessary. I asked the resolution team about the implications of the CMA report in multiple emails BEFORE the meter was changed, never received a satisfactory response, and still haven't.

Many thanks.

matelodave

I'm guessing that if the company is still working out what they are going to do then the resolution team will be working on the current rules rather than on something they probably know nothing about.

You might feel very aggrieved that they aren't anticipating a change in the rules, but that's true of most things. - the rules change on a date when everything is in place and as you chose to change before the rules changed then you've got to pay for the meter.

If you been offered £20 then I'd be inclined to take it and accept that the meter has only cost you £45 instead of £65 rather than having angry sleepless nights because you feel hard done by.

On the otherhand you can keep bashing your head against a wall and get nowhere, they might even withdraw the £20 offer

You

matelodave wrote: »

I'm guessing that if the company is still working out what they are going to do then the resolution team will be working on the current rules rather than on something they probably know nothing about.

You might feel very aggrieved that they aren't anticipating a change in the rules, but that's true of most things. - the rules change on a date when everything is in place and as you chose to change before the rules changed then you've got to pay for the meter.

If you been offered £20 then I'd be inclined to take it and accept that the meter has only cost you £45 instead of £65 rather than having angry sleepless nights because you feel hard done by.

On the otherhand you can keep bashing your head against a wall and get nowhere, they might even withdraw the £20 offer

Strange response there. Taking it one by one:

Their ultimate resolution is their business - I never reached the point of asking how they are going to implement it. One of my questions is a step back from that - whether they are legally obliged as a result of the CMA report to open all tariffs to customers currently with economy 10 meters. Resolution team said no, there is no such requirement. I read the CMA report and asked on here to see if my reading of it is correct. Malc hasn't answered that question, so I asked again. If you know the answer, that might have been a more helpful response than the one you gave.

Next point - there are no new rule changes for them to 'anticipate' as you suggest. The CMA report is now a year old.

Next point - who said anything about angry sleepless nights? I figured a consumer website like this was the best place to raise the questions and thought others might have a better understanding of the CMA report than me.

Finally, I am sure there will be plenty of people stuck on restricted meters who would appreciate a bit more clarity on the implications of the CMA report. I would like to think that if we can bring clarity in this thread to the question of whether EON will ultimately, one way or another, have to open up fixed tariffs to all customers in the next couple of months, then we might stop someone else from being misinformed by EON's complaints team and being wrongly told by them that their only option is to change their meter at their own cost.

matelodave

Sorry, I didn't realise that you were just after some clarity

It appeared that you were having a whinge about having to pay £65 and that they were only offering you £20.

I've had a re-read of your original post and I've not changed my initial impression, I still think it's mainly a whinge, just look at the final line which says it all really.

matelodave

Not a troll - I actually responded to your question in the last line of your OP suggesting that you took the money and got on with your life.

In what way is that trolling?

look here, the date is 1st September 2017 before they have to make all tariffs available to Restricted Meter customers, likewise they dont have to give info until then either.

https://assets.publishing.service.gov.uk/media/58513fb5ed915d0aeb0000a0/energy-market-restricted-meters-order-2016.pdf

Former_E.ON_Company_Representative:_Malc

You wrote: »

Hi Malc. Thanks for your message, but it doesn't really answer my questions.

Does the CMA report compel energy suppliers with more than 50,000 customers to open up all tariffs to those with restricted meters like economy 10?

If it does, is this not supposed to be implemented by September?

If opening up tariffs to all customers is required very shortly, why have the resolution team been telling me all the way through that they know nothing about any such requirements?

If it does compel you to open up all tariffs to restricted meters customers, then I'm sorry but with all due respect, the business decsion you make on how it is implemented is ultimately EON's choice, whether it be to simply continue with the same meters but open up the cheaper tariffs, or offer free meter changes. The issue for me and other customers is simply to tell us whether one way or another you will be changing your business decision of not offering the cheaper tariffs to people in my circumstances.

Finally, you say it is too late, but frankly I don't see it that way. I am at a loss to understand why I should pay £65 for a meter change that the CMA report seemingly suggests was not necessary. I asked the resolution team about the implications of the CMA report in multiple emails BEFORE the meter was changed, never received a satisfactory response, and still haven't.

Many thanks.

You wrote: »

Strange response there. Taking it one by one:

Their ultimate resolution is their business - I never reached the point of asking how they are going to implement it. One of my questions is a step back from that - whether they are legally obliged as a result of the CMA report to open all tariffs to customers currently with economy 10 meters. Resolution team said no, there is no such requirement. I read the CMA report and asked on here to see if my reading of it is correct. Malc hasn't answered that question, so I asked again. If you know the answer, that might have been a more helpful response than the one you gave.

Next point - there are no new rule changes for them to 'anticipate' as you suggest. The CMA report is now a year old.

Next point - who said anything about angry sleepless nights? I figured a consumer website like this was the best place to raise the questions and thought others might have a better understanding of the CMA report than me.

Finally, I am sure there will be plenty of people stuck on restricted meters who would appreciate a bit more clarity on the implications of the CMA report. I would like to think that if we can bring clarity in this thread to the question of whether EON will ultimately, one way or another, have to open up fixed tariffs to all customers in the next couple of months, then we might stop someone else from being misinformed by EON's complaints team and being wrongly told by them that their only option is to change their meter at their own cost.

Hello You and you're right, I haven't answered your question. At this moment, I don't know the answer. I've tried to give as much information as I have and, as I mentioned yesterday, will update the Forums when I know more.

I'm in touch with the people here looking into at all aspects of the CMA report and hope to have more details before too long. As I speak, we're on schedule to meet the required date.

Matelodave is right, until briefed differently, all our advisors will be working to current instructions and will be dealing with your complaint on the basis of today's guidelines. As you're not happy with the resolution offered, I'd escalate the complaint to our Complaint Reviewers. They'll take another look and either uphold the original offer or suggest an alternative. If this still isn't satisfactory, they'll explain how to go to the Energy Ombudsman for an independent assessment. There's more about this on our website.

When I spoke about it being too late, I meant the Economy 10 meter has already been changed before we started talking.

Sorry I'm unable to add more flesh to the bones at the moment. I've passed these questions/issues to the people I mentioned earlier and will look to add more details before too long.

Malc

Former_E.ON_Company_Representative:_Malc

matelodave wrote: »

I'm guessing that if the company is still working out what they are going to do then the resolution team will be working on the current rules rather than on something they probably know nothing about.

You might feel very aggrieved that they aren't anticipating a change in the rules, but that's true of most things. - the rules change on a date when everything is in place and as you chose to change before the rules changed then you've got to pay for the meter.

If you been offered £20 then I'd be inclined to take it and accept that the meter has only cost you £45 instead of £65 rather than having angry sleepless nights because you feel hard done by.

On the otherhand you can keep bashing your head against a wall and get nowhere, they might even withdraw the £20 offer

That's right matelodave. Following the CMA report, new actions around restricted meters like Economy 10 haven't been fully briefed out to advisors yet. Certain requirements like the need to give more detailed information about usage, the tariff and switching times have but details about the availability of single rate tariffs haven't. This is something we're looking to do before the required date. As above, I'll let the Forums know more details as soon as I'm able.

Malc

You

E.ON_Company_Representative:_Malc wrote: »

That's right matelodave. Following the CMA report, new actions around restricted meters like Economy 10 haven't been fully briefed out to advisors yet. Certain requirements like the need to give more detailed information about usage, the tariff and switching times have but details about the availability of single rate tariffs haven't. This is something we're looking to do before the required date. As above, I'll let the Forums know more details as soon as I'm able.

Malc

So Malc, if I understand you correctly, what you are saying is that EON's customer service and complaints team have not actually been informed that within a month and a half some sort of measure will be put in to place to open up all single rate tariffs to customers on restricted meters?

Would it not be a good idea to inform them that a change will be coming soon? That might stop them misinforming customers like me and telling us that there is no upcoming legal requirement for us to be offered the cheaper tariffs. It might stop other people like me being misled into having an unecessary meter change at our own expense.

Former_E.ON_Company_Representative:_Malc

molerat wrote: »

Have you had a bill since Dec 2016 ? If so there is a fair chance they have breached (the new) SLC 22G.9.

Hello molerat. Do you mean adding specific details to certain documents, like bills and statements, sent to customers with restricted meters?

It'll include meter type, name of current tariff, payment method, annual consumption, breakdown of annual consumption, the Meter Point Administration Number (MPAN), standing charges and unit prices, length of time and times the restricted periods are active as well as contact details for the relevant Citizens Advice. This information will start to appear on bills and statements where a restricted meter is involved later this year.

This is something we currently provide when customers ask but are now going to do more formally regardless of whether or not a customer with a restricted meter requests it.

We'll also send metering information concerning restricted meters to the Citizens Advice Bureau and a compliance statement to the CMA.

Not sure if this is what you mean molerat. Let me know if I've misunderstood.

Malc