Ofgem launches investigation into E.ON sales
Wednesday 04 April 2012
Ofgem has opened an investigation into energy supplier E.ON to establish whether it is complying with selling obligations, the regulator has announced.
It follows information about E.ON's marketing activities which has "come to the regulator's attention", it said.
The investigation will examine whether E.ON is complying with regulations governing face-to-face and telephone sales activities.
Responding to the announcement, E.ON said it believed it had acted in the best interests of consumers at all times and had "robust" controls in place to ensure responsible selling.
E.ON's director of regulation and energy policy Sara Vaughan said: "We are very disappointed at Ofgem's announcement of its investigation as we have always sought to ensure we have the best and most stringent controls in place.
"In recent months, our procedures have been improved even further as they have been assessed during our Reset Review. We will now work with Ofgem on their investigation and will seek to demonstrate that we have always acted in the best interests of consumers and have the right safeguards in place to ensure our principles are never compromised.
"Our ongoing Reset Review is looking at every aspect of how we support our customers and whilst we will not pre-judge any results that might arise from those discussions, it is clear that a form of face-to-face contact remains an important and desirable way for many consumers - including those who might not otherwise participate in the competitive market - to engage with us."
Ofgem strengthened suppliers' obligations to guard against mis-selling in 2009 and 2010 to ensure that any marketing material is fair, accurate, easy to understand and appropriate for the customer.
Suppliers are also required to conduct any telesales and face-to-face marketing activities in a "fair, transparent, appropriate and professional manner".
Ofgem is continuing investigations into the sales practices of Scottish Power, SSE and npower and recently concluded an investigation into EDF Energy on the same issue.
EDF Energy agreed £4.5 million for needy households as part of a settlement with the regulator after staff were found to have made misleading claims to customers.
Ofgem said EDF Energy's doorstep staff failed to provide potential customers with complete information during the sales process, while those in its call centres made claims about savings before knowing their statements were accurate.
- 3 Amal Clooney gives excellent response to fashion question at European Court of Human Rights
- 4 A bottle of wine a day is not bad for you and abstaining is worse than drinking, scientist claims
- 5 Isis publicly behead man in Syrian town square for 'insulting Allah' as he screams for help
Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
Michelle Obama highlights harsh restrictions faced by Saudi women after meeting King Salman without wearing a headscarf
Amal Clooney gives excellent response to fashion question at European Court of Human Rights
Sir David Attenborough interview: The one question about life that still baffles him
Isis publicly behead man in Syrian town square for 'insulting Allah' as he screams for help
9 reasons Greece's experiment with the radical left is doomed to failure
'We would evict Queen from Buckingham Palace and allocate her council house,' say Greens
Greece elections: Syriza and EU on collision course after election win for left-wing party
British Muslim school children suffering a backlash of abuse following Paris attacks
British grandmother Lindsay Sandiford faces execution by firing squad in Indonesia
Liberal Democrat minister defends comments suggesting immigration causes pub closures
iJobs Money & Business
£13000 per annum: Recruitment Genius: This Pension Specialist was established ...
£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...
£25000 - £35000 per annum: Recruitment Genius: A Technical Report Writer is re...
Competitive salary & benefits!: MBDA UK Ltd: MBDA UK LTD Indirect Procurement...