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U.K. Regulator Bans Retail Supplier From Enrolling New Customers

February 22,2019



U.K. regulator Ofgem has issued a provisional order on Solarplicity, banning the energy supplier from taking on new customers and increasing vulnerable customers’ direct debits, due to what Ofgem said is the supplier's, "poor switching process and customer service."

The ban will remain in place for three months unless Solarplicity significantly improves by:

• Ensuring customer contact channels are improved, managed and maintained, with queries and issues being resolved in a timely manner;

• Ensuring that the switching process is completed for customers, so switches go smoothly and are completed within the required timescales;

• Ensuring that customers receive their contract renewal notice in a timely manner;

• Managing complaints appropriately and resolving them in a timely manner;

• Identifying vulnerable customers and ensuring they are receiving appropriate support;

• Reviewing customer accounts (especially those in debt) to ensure customers in payment difficulty are managed properly, for example by putting them on repayment plans.

Ofgem said, "Between March 2018 and September 2018, there was an unacceptably high proportion of calls abandoned and unacceptably long call waiting times. Whilst call handling has improved, Ofgem has not seen the required improvements elsewhere."

"Solarplicity must get its house in order and provide a level of service that its customers expect. If not, Ofgem will take the necessary steps to ensure customers are further protected and will take the relevant action needed to do this, which may result in its licence being revoked," said Mary Starks, executive director of consumers and markets at Ofgem

The issuing of a provisional order does not imply that Ofgem has found conclusive evidence of a breach at this stage.

During the duration of the provisional order, Solarplicity will be allowed to complete the transfers of customers who have already signed up to be switched through a community energy scheme with Stoke-on-Trent City Council.

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