Consultation description
The Gas and Electricity Regulated Providers (Redress Scheme) Order 2008 requires energy providers who provide a supply to domestic and micro-business customers to join a redress scheme which has been approved by the Gas and Electricity Markets Authority (GEMA). Energy providers include gas and electricity suppliers, gas transmission and electricity distribution companies. This requirement enables domestic and micro business customers to have access to a redress scheme if they have not been able to resolve a consumer complaint with their energy provider directly.
The Order describes a micro business as one that:
- does not consume more than 55,000 kWh of electricity per year,
- does not consume more than 200,000 kWh of gas per year, or
- employs fewer than 10 employees (or their full time equivalent) and has an annual turnover or balance sheet total not exceeding €2 million.
This allows for micro businesses that typically spend £5,000 on gas or electricity, to have access to the same form of redress arrangements as domestic customers. We are proposing to improve the Order by expanding the consumption levels on the amount of electricity or gas used per year, so that businesses that typically spend up to £10,000 (excluding VAT and other charges) on these fuels per year have the same form of redress arrangements as existing micro business customers.
This consultation seeks responses by 14 February 2014.
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