Help Ofgem Change 'Rollover' Rules
Send them this email...!
Any business that's been caught out by an energy company's
'Rollover Trap' will know how frustrating and expensive it can be.
However, simple things like having contract end
dates clearly printed on each bill and renewal
letters sent by Recorded Delivery would have a massive
impact on the number of businesses falling into the trap.
If (like 94% of businesses we asked) you'd like to see these
measures put into practice then now's the time to act… Ofgem, the
energy industry regulator, is urging businesses to comment on
its proposals to make energy contracts fair and
easy to understand.
All you need to do to have your voice heard AND help them change
the rules is copy & paste the following into an email and send
it to rmr@ofgem.gov.uk.
Dear Ofgem
Re: Retail Market Review (non-domestic proposals),
Chapter 2/Q6
As a business energy user I would like Ofgem to ensure
that:
- Each bill I receive from my energy company clearly
highlights my contract end date and termination
procedure.
- Each renewal letter I receive from my energy company is
sent by Recorded Delivery and shows the difference between the
current rates being charged and the proposed renewal rates in £s
and %. I'd also like it to explain how and when to
serve notice if I am to prevent my business from
being automatically rolled into a new contract on the renewal
rates.
Yours faithfully
(Your Name)
(Business Name)
NB Unless marked 'confidential', all responses will be published
in Ofgem's library and on www.ofgem.gov.uk.
'Rollover Trap' Explained
Businesses typically pay fixed price tariffs for one, two or
three years and it is not unusual to see prices going up by 50% as
they come up for renewal at the end of their contract. However a
typical renewal window for a business energy contract will be
between 120-30 days BEFORE the contract end date, and it is usually
ONLY during this period that you can apply to switch or look to
negotiate a better deal. If a business fails to act before
the end of the renewal window, its contract will automatically
'rollover' on to renewal rates for at least another 12 months. In
other words… cheaper prices are only available to those who know
about their renewal window, are proactive about shopping around
DURING it and then manage to avoid being rolled - by sending a
termination letter to their supplier. Make It Cheaper offers free
and impartial help with this - even if it's just to remind you each
time your renewal window opens.
More on Rollovers
