HC Deb 15 May 2000 vol 350 cc25-6W
Mr. Wyatt

To ask the Secretary of State for Trade and Industry what assessment he has made of Beacon Gas's practices in respect of taking over consumers' gas supplies. [121444]

Mrs. Liddell

It is for the Director General of Gas and Electricity Supply to monitor the performance of individual suppliers.

Mr. Wyatt

To ask the Secretary of State for Trade and Industry what guidance he has given to Ofgem about its treatment of companies that take over consumers' energy supplies without their consent. [121446]

Mrs. Liddell

In 1998, the Government worked with Ofgem in introducing a licence condition governing the sales and marketing practices of gas and electricity suppliers. Under the condition, suppliers are, among other things, required to make all reasonable efforts to confirm that individual customers wish to proceed with a change of supplier. Ofgem recently renewed the condition for a further two years, and is currently consulting on enhancing it by requiring suppliers to have effective management of their sales agents; ensuring that gas, as well as electricity, suppliers provide customers with copies of the terms and conditions of contracts entered into over the telephone; extending coverage of the condition to sales undertaken in public places and to certain sales over the internet; and requiring suppliers to take steps to ensure that the customer understands that he has entered into a contract.

The Government support these proposals to give additional protection to consumers. The Utilities Bill currently before Parliament would allow Ofgem to impose financial penalties for breaching the licence condition, including infringements relating to involuntary transfer.