British Gas’s Centrica, and EDF’s EDF both blasted administrators for not addressing the problems caused by collapse of suppliers.
Centrica has asked Ofgem to intervene in order to speed up the process to ‘onboard’ customers who are left behind after a company goes bust.
According to the complaint, administrators not only delayed customers’ data transfer but took unneeded direct debit payments. This left consumers furious.
Ofgem: Centrica wrote to Ofgem requesting the regulator to intervene in the matter of “onboarding” customers who are left behind after their supplier goes bust.
MoneySavingExpert ranked British Gas as the most difficult firm to obtain customers by using this method. As wholesale energy prices soared, nine out of 30 suppliers went under. British Gas was able to take consumers from those firms. Customers complained about poor communication, delayed billing and missing credit balances.
Chris O’Shea, chief of Centrica, testified to the MPs last Wednesday that Centrica isn’t incentivised for quick action. They would not give us any information on credit balances… [Customers]They are now several months into the British Gas journey and are deeply unsatisfied.
Simone Rossi, EDF UK’s chief executive officer, claimed that administrators had “aggravated an already difficult situation”. She added: “Our experience dealing with administrators was terrible.”
O’Shea singled out consultancy Alvarez and Marsal – which worked on the administration of PFP Energy and People’s Energy – for the ‘two worst transfers’.
A&M said it did ‘everything we can to facilitate a smooth transition’ but had a duty to act in the best interests of creditors.