Energy Switching Guide

Transcription

1 Energy Switching Guide Helping tenants reduce their gas and electricity bills

2

3 PAGE 3 David Orr - chief executive Foreword by David Orr chief executive, National Housing Federation Over the last few years, all of the big energy firms, except for Scottish Power, charged prepay meter customers more for their gas and electricity than anyone else even though most are on low incomes. In some instances, prepay meter customers paid 500 per year more than customers on the best deals. We know that one in three social housing tenants use prepayment energy meters. Some housing associations say that up to 70% of their tenants use these meters to help them budget their energy expenditure. That s why the National Housing Federation launched a campaign with housing associations to fight this injustice. Since we began in 2007, hundreds of housing associations and their tenants have called on MPs, energy suppliers and the Government to end this unfairness. We brought our campaign to every national newspaper and most of the regional press. We had a mountain to climb in convincing energy suppliers that this was the right thing to do for customers when the energy market regulator, Ofgem, opposed it. In February 2010, British Gas became the last of the big six to remove the prepayment meter premium. This victory is an incredible testament to what can be achieved when we all pull together. Compared to prices when we began, our campaign has saved prepay customers around 473 million a year. Of course, scrapping the premium paid by prepayment customers is only part of the answer, but it signals a symbolic shift in the balance of power between the energy companies and the rest of society. We have decided to update the Energy Switching Toolkit in recognition of the fact that energy costs are still a significant call on the incomes of social housing tenants. We have included a new easy read section, authored by Yarrow, to help you discuss this complex subject with tenants who have learning difficulties. I hope this toolkit will help you provide your staff and tenants with the information they need to get the best possible energy deal this winter. This victory is an incredible testament to what can be achieved when we all pull together. Compared to prices when we began, our campaign has saved prepay customers around 473 million a year.

4 PAGE 4 CONTENTS Foreword 3 Introduction 5 What s new: 1. Ending the prepay meter rip-off 8 2. New help for customers 8 3. Smart meters for all 10 Understanding the issues: 4. Prepayment meters and other payment methods How to save money by changing payment method or supplier Help for your tenants - social tariffs and assistance schemes How to make a complaint Contact information 30 Communicating to tenants: 9. Learning from the Castle Vale project Advising people with learning difficulties 44 Index 53

5 Introduction The gas and electricity market in England, Wales and Scotland (Northern Ireland has a different system) is complicated, with consumers having to pick their way through a maze of different offers, price plans and ways to pay. Too many consumers pay more than they need to for their gas and electricity because they are reluctant or unable to take advantage of the best offers available. This toolkit is aimed at housing associations that want to run projects to help tenants reduce their gas and electricity bill by changing which company supplies their energy and the way they pay for it. Potentially there are savings to be made: up to 300 a year for some consumers. Changing payment method and supplier should be an easy process and providing relevant and comprehensive advice should take no more than 15 minutes per consumer. This makes any successful project easy to justify in terms of value for money. The tenants who will benefit most are those who: Pay using a prepayment meter. Pay using a weekly or monthly budget card. Pay by cash or cheque when the bill comes. Have never switched energy supplier. The toolkit is based on a pilot project carried out by the National Housing Federation, Energywatch and Castle Vale Community Housing Association in the Castle Vale area of Birmingham between February and April This toolkit also builds on our learning from the Federation s campaign to get a better deal for prepayment meter customers. The project identified two main issues that are crucial to the success of such schemes: 1. Persuading people to participate in the project and seek advice about the best deals on offer. In Castle Vale this appeared to hinge on establishing the credibility and independence of the project and the advice being given. Residents were extremely cynical about anyone giving advice on the price of energy, fearing that it was biased in favour of a particular energy company, or that it was part of a sales drive by an energy company. 2. Having the knowledge to answer questions and to help solve the variety of problems people experience in relation to their gas and electricity supply. This toolkit describes how the project tried to overcome these issues. It also tells you where to find information to help consumers solve their gas and electricity problems. PAGE 5

6 Section 1: Ending the prepay meter rip-off John Pierce, campaigns executive John led the campaign to victory in 2010 when the final energy supplier removed its prepay premiums. The campaign was launched in January 2007, when the six million energy customers who pay up front to heat and light their homes via prepayment meters paid over 100 per year more than customers who pay quarterly for their energy. Some prepayment customers were being charged 300 a year more than those on higher incomes paying by online debits. We were extremely exercised about this issue because a large proportion of housing association tenants paid this premium to heat and light their homes. However, back then we didn t expect our campaign to play a part in a complete overhaul of energy pricing and save prepayment meter customers about 473 million a year. For the first 12 months of the campaign, we spent most of our time explaining to journalists and MPs what prepayment actually was and why it wasn t acceptable that these low income households had to pay the most to heat and light their homes. In 2008, energy suppliers shot themselves in the foot by deciding to increase their energy prices twice in one year. With a 35% rise in gas prices and with five million households forced into fuel poverty, the pressure was on suppliers for action. In response to this public outrage the energy market regulator Ofgem was forced to investigate how energy suppliers calculated their prices and to see if this was actually fair. While all of this was happening, hundreds of letters were sent from housing associations demanding fairer energy prices for their tenants. The Federation was raising the issue in the national newspapers and news

7 programmes. The highlights appeared on BBC Watchdog twice and stories ran constantly in the News of the World, The Guardian, The Telegraph and on BBC News. In September 2008, we ran National Energy Action Week. Many housing associations took groups of affected tenants to their MP s doorstep calling for action. MPs have said that the real strength to our argument was that housing associations across the country backed us. By the end of that year, E.ON and Npower, who had charged the highest premium in the past, finally got the message and removed their gas and electricity prepayment meter premium. Scottish Power had already done so for both in early By 2009, the issue of prepayment meter premiums was a political hot topic. The Government promised action if Ofgem and the energy suppliers failed to address the problem. In the end this was all hot air as Ofgem and the Government decided it was acceptable for energy suppliers to charge more to prepay meter customers because they were more expensive to run. And so we fought on, working with a number of MPs, led by former MP John Austin and Alan Whitehead MP, to introduce a new law to ban charging the highest tariffs to prepayment customers. The Bill had the backing of 150 MPs and yet without the Government s support it could not progress. Despite not becoming a law, the Bill achieved the one thing that we had hoped it would do all along by convincing the remaining suppliers to drop their premium. We called victory on the campaign in April 2010 when British Gas, EDF, Scottish and Southern Energy and the other three suppliers permanently removed their premiums for gas and electricity. Ofgem s latest report on energy prices states that prepayment meter customers now pay 19 a year less than customers who pay quarterly for their energy and 69 less than direct debit customers. A formal evaluation of our campaign by Firetail 1 said the Federation s actions during the campaign were a significant factor in the ultimate decisions of the energy suppliers to equalise their prepayment and standard credit energy tariffs. In particular NHF s political and media work caused the suppliers to reconsider the value of retaining premiums on their prepayment tariffs. Clearly this is a huge success for the housing association sector and something that we can all be very proud of. On top of saving our tenants money it has also put the Federation and housing associations on the map as champions for social justice and fairness. SECTION 1 PAGE 7 1 Firetail 2010, Evaluation of the prepayment campaign.

8 Section 2: New help for customers OFGEM S NEW PACKAGE In 2008, Ofgem, the energy market regulator, finally acknowledged that the energy market was not working for some customers. In response, it introduced a package of new rules which aim to improve domestic customers experience of the energy market. Standards of conduct Ofgem has introduced new standards of conduct which provide a guide to customers about the level of service they can expect from an energy supplier. The standards are: suppliers must not sell a customer a product or service that they do not fully understand or that is inappropriate for their needs and circumstances; suppliers must not change anything material about a product or service without clearly explaining why; suppliers must not prevent a customer from switching product or supplier without good reason; suppliers must not offer products that are unnecessarily complex or confusing; suppliers must make it easy for their customers to contact them and act promptly and courteously to put things right when they make errors. Better information on bills Where a customer receives regular bills, each bill will display the following information: The name of the customer s current tariff. The customer s consumption for the past 12 months, except where the customer has been with the supplier for less than 12 months; and An estimated cost in pounds per year of the customer s supply for the next 12 months if the customer remains on the same tariff, if the tariff rate is unchanged, and if the customer uses the same amount of energy, except where the customer has been with the supplier for less than 12 months. Where the customer does not receive regular bills, for example prepayment customers, this information must be provided at least once a year in an annual statement.

9 Annual statements All customers will receive a clear and easy-tounderstand annual statement that will include the information detailed above as well as: A reminder of the principal conditions of their contract. Information about any premiums or discounts that may apply to the customer s tariff as compared to the supplier s standard tariff where payment is by direct debit. A reminder that the customer can switch, along with advice on how to do so. Switching for customers in debt Being in debt to a supplier can stop a customer from switching supplier and accessing a cheaper tariff. Ofgem has introduced new rules for some customers in debt to allow them to switch supplier: Prepayment customers who are in debt can now switch supplier if their debt is less than 200. Customers in debt who have been notified of a price increase after it has come into effect or have been given less than five days notice of a price increase and wish to change supplier are now better able to do so. If the customer informs the supplier that they wish to switch, and the supplier blocks the switch due to debt, they will now have 30 working days to pay off this debt. Following payment, the customer will then be able to switch and avoid any retrospective price increase. Customers in debt because of an error caused by their supplier should not be prevented from switching on the grounds of that debt. Sales and marketing Switching supplier on the recommendation of a doorstep salesperson can be confusing and some customers find that they have switched to a more expensive tariff without realising. Ofgem has brought in new rules that should make it easier for customers to get the tariff they want. Before signing up a new customer, the salesperson should provide them with an estimate of the total annual charges for the next year under the new terms they are offering. This should either be in writing or on an electronic display. If the salesperson claims to be offering a cheaper deal than the customer currently receives or if the customer uses a prepayment meter, they must also provide that customer with a written comparison of their current energy costs and those expected under the new offer. Customers should receive a written copy of these estimates and comparisons as well as a copy of the new terms at the time of or shortly after signing up to a new supplier. It is advisable that this information is kept for future reference by the customers. If a customer decides to switch, they should receive additional information including details of what happens next, a reminder to check the product is suitable for them, details of where to find impartial advice, a reminder of any right to cancel the agreement and details of third party organisations, such as Consumer Direct, that can help address grievances, should they occur. PAGE 9 SECTION 2

10 Section 3: Smart meters for all The Government has mandated that every home in the UK will have a smart meter for gas and electricity. Smart meters will give consumers the information they need to make intelligent choices about their energy consumption. At the moment, the only information most consumers receive about their energy consumption is via a bill that can arrive months after they have actually consumed the energy. Even then, this bill can be based on information that is estimated. With smart meters, consumers will get a bill based on actual usage. In addition, all smart meters will come with a separate inhome display (IHD). This will provide consumers with near real-time information to allow them to monitor their household s energy consumption. Consumers will choose where their IHD is located to allow them easy access to the information. The information will be displayed in pounds and pence as well as in a visual form that will be easier for consumers to understand. By showing how much energy is being used and how much it s costing, smart meters can help households cut down energy consumption and make savings. Benefits for consumers Smart meters have the potential to deliver the following benefits to consumers: better information can help consumers cut energy use smart meters end the need for estimated bills and the need to be in when the meter reader calls consumers will benefit from more choice in tariffs, for example time of use tariffs offering cheaper electricity during the night when demand for energy is lower in due course switching will become quicker and easier taking days rather than weeks increasing the competition

11 there will be greater pressure on energy suppliers to make it easier to switch between payment methods, for example switching between credit and prepayment modes using the same meter smart meters will give much clearer information, allowing consumers to compare competing tariffs more easily smart meters could detect problems with a consumer s electricity supply smart meters will make it easier for suppliers and third parties to offer consumers tailored energy efficiency advice. Other uses for smart meters Smart meters will also allow householders to take advantage of other potential benefits. As all smart meters should be able to talk to other appliances within the home, like the IHD, there is potential for the following benefits: consumers will be able to buy their own smart appliances which will be able to talk to their smart meter, eg automated household appliances will be able to link to smart meters to run more economically, for example at night when off-peak electricity is cheaper greater automation of household appliances through smart meters will increase consumers control over the energy they use in their home consumers could monitor their energy usage over the internet, making information accessible via computers and smart phones. Costs Suppliers will not be able to charge consumers upfront fees for smart meters. Where they pass on costs, those costs will be treated like other elements of supply, eg meter reading and environmental levies, and will be included in bills. The Department of Energy and Climate Change (DECC) s overall cost/benefit analysis estimates that the cost of delivering smart meters, estimated at billion, will deliver benefits of billion. It is estimated that by 2020 an average consumer will be saving around 14 a year on their gas and electricity bills, as they reduce their energy usage in response to the better information provided by smart meters. Some consumers may save considerably more. Next steps DECC and Ofgem will now undergo a detailed consultation exercise with stakeholders. Priority next steps include the introduction of additional consumer protections in spring 2011 and developing technical specifications for the smart metering system. This is so that the mandated rollout of smart meters can begin from mid This target is subject to consultation. PAGE 11 SECTION 3

12 Section 4: Prepayment meters and other payment methods Introduction People who pay for their gas and electricity using a prepayment meter (PPM) are stuck in a segment of Great Britain s energy market which is devoid of effective competition. Hence they frequently suffer from the market s highest prices and poor service. Despite our campaign success, prepayment customers still pay more to heat their homes than customers who pay by direct debit. The key points of the prepayment market are: Prepayment meter users have limited awareness of the competitive market and of price variations between suppliers and payment methods. Only around half of prepayment users have ever changed supplier, leaving those who have not switched, in general, buying their gas and electricity from the most expensive companies. Ofgem has identified that over half of the prepayment users who do switch supplier actually switch to the three most expensive suppliers. Prepayment meter users rely heavily on doorto-door sales agents for their information on energy prices, leaving them considerably exposed to mis-selling.

13 This means that most prepayment users would clearly benefit from further information on the market and assistance in using the market to their advantage. Consumers in social housing have a very high tendency to use prepayment meters, meaning housing associations are well placed to provide assistance to the people who need it most. People who pay their bill quarterly by cash or cheque (a method referred to as standard credit) rely heavily on door-to-door sales agents and so face a similar risk as prepayment users. Standard credit is also becoming an increasingly expensive way to pay, which means that these customers need advice on how the market can work to their advantage. Nearly six million prepayment meters are in use in Great Britain, predominantly in low-income households. This means that a high proportion of prepayment users are people living on a budget who need to limit their energy expenditure, yet are left paying the highest prices on the market. Prepayment use is high amongst housing association tenants, and some research suggests that housing association tenants are three times more likely to use a prepayment meter than the average householder. 2 Even conservative estimates indicate that the number of fuel-poor households that also use prepayment meters is now approaching the one million mark. Types of gas and electricity meter There are two types of meter in use: the prepayment and the credit meter. A credit meter is the most common type. It simply records the energy used. The meter will be read by a representative of the energy company and the consumer will receive a bill, or have their direct debit payment varied, based on the meter reading. People who have a credit meter can usually sign up for any tariff (price plan) from any energy company (page 18-19). People who use a prepayment meter need to pay for their energy in advance using some form of card or key which they top up in a shop or post office. These meters restrict users to prepayment tariffs which are often the most expensive. Prepayment meters will only supply energy up to the amount that has been paid in advance, leaving users disconnected if the credit runs out. Consumers on Economy 7, Economy 10 3 and similar tariffs can also use a prepayment meter. Some electricity prepayment meters use an old technology that t akes disposable paper tokens. Those who use a token prepayment meter may not be able to switch to a different supplier unless they have a more modern meter fitted as a replacement. Companies must do this for free and any consumer who has a token prepayment meter is advised to get it changed as quickly as possible. PAGE 13 2 Energywatch See page 16 for more information on Economy tariffs. SECTION 4

14 PAGE 14 Change the way to pay and look for special tariffs and reward schemes Consumers can save money by changing the way they pay for gas and electricity. Direct debit is usually the cheapest. Direct debit is even cheaper if consumers can manage their account online. Many suppliers have special tariffs and reward schemes. Examples include: Reward and cash back schemes. Some suppliers offer an incentive to change to them (eg cash back) or for staying with them (eg air miles). Tariffs for older people. Internet tariffs. Green tariffs. Some suppliers have tariffs that can help the environment. Prompt Pay. Some suppliers offer discounts if the bill is paid within a specified period. To find out more about these schemes contact the supplier directly or check the additional information sections on one of the comparison websites (see page 15). How companies charge for gas and electricity There are essentially four main ways to pay for gas and electricity: 1 Direct debit and managing your account online. 2 Standard direct debit, paying by direct debit but still getting paper bills. This usually involves paying a set amount each month. 3 Standard credit, paying by cash or cheque every quarter when the bill arrives. Some consumers have a payment card and they pay a set weekly or monthly amount, usually in cash at the post office. 4 Prepayment meter, paying in advance to top up a card or key which is then used to charge the meter. This requires a different type of meter to be installed in the property. There are other ways to pay, such as Fuel Direct which is a safety net against disconnection for recipients of qualifying benefits as Department for Work and Pensions (DWP) pay energy bills direct from a consumer s benefits. Major energy suppliers have an obligation to accept payment by Fuel Direct, provided DWP approves the application. Using Fuel Direct is often a good way to repay a debt and avoid having a prepayment meter imposed. Some consumers pay by weekly card or use a bill payment company such as One Bill. Ebico Ebico is a not-for-profit energy supplier that currently charges the same rate no matter how its customers pay. More information on their tariffs: Equipower, Equigas and Equidual, can be found on the website See advice on the impact of price rises in Section Nine: Learning from the Castle Vale Project. Dual fuel deals Dual fuel deals are where suppliers offer a discount to customers who buy both gas and electricity from them. In some cases this discount can be 60 a year. Consumers should look at the cheapest deals for gas and electricity as a single fuel as well as the cheapest dual fuel deal. Fixed and capped price deals Fixed and capped price deals are not usually available to prepayment meter users. However, they might be useful for consumers who can switch payment method. A capped price tariff offers the guarantee that the price per kilowatt hour (kwh) for electricity or gas will not rise beyond the cap for a set period of time. The price paid for electricity or gas could fall if a company s standard prices decrease during the period. The bill amount will still vary depending on how much energy is used each month.

15 A fixed price tariff offers the guarantee that the price per kwh for electricity or gas will not rise for a set period of time. However, the tariff price will not fall during the fixed period if the company s standard prices fall. The bill amount will still vary depending on how much energy is used each month. Once the capped or fixed price offer expires, consumers will usually be moved on to the supplier s standard price tariff, which might not be the cheapest tariff that supplier offers. Capped or fixed price tariffs are usually more expensive (in price per kwh) than a company s current standard tariff. The price premium at the start of the fixed or capped price offer might cost more than the savings made towards the end of the offer. Consumers might be subject to a termination fee for switching away from these sorts of offers before the end of the fixed period. These types of offers may be suitable for consumers who: Are on a fixed income and want to be able to budget how much they will pay for their energy usage over the year. Think that energy prices are likely to rise further in the future. Please note that many of these deals are not available to prepayment meter customers. PAGE 15 How to find out about the best prices in your area With energy companies now offering a bewildering range of different deals, it's easy to become confused about what's on offer. The easiest way to find the best deal is to use one of the internet price comparison services which are accredited to the energywatch Confidence Code a voluntary code of practice for price comparison services. Compliance with the Confidence Code is regularly audited, which means that the prices quoted on accredited websites can be trusted. The following companies have been accredited, as they have been able to demonstrate compliance with all nine requirements of the Confidence Code. These accredited sites now display the Confidence Code logo on their site. The best results will be obtained if actual consumption figures, in kwh, are used when undertaking a price comparison. These can be found on a bill or statement. Try to avoid using just winter consumption or summer consumption to estimate for a whole year. Accredited website Contact Contact telephone customerservices@energylinx.co.uk energyhelpline@firsthelpline.com contact@homeadvisoryservice.com general@moneyexpert.com customerservices@moneysupermarket.com customerservice@saveonyourbills.co.uk customerservice@simplyswitch.com swwqueries@which.co.uk help@theenergyshop.com Info@ukpower.co.uk CustomerServices@uswitch.com energy@unravelit.com gareth@confused.com SECTION 4

16 PAGE 16 Comparing Economy 7 and Economy 10 Economy 7 and Economy 10 are electricity tariffs which offer cheap electricity at night and more expensive electricity during the day. Economy 10 also offers a short period of cheap daytime electricity. Generally these tariffs are used by people who have storage heaters fitted. When comparing Economy 7 and Economy 10 tariffs it is very important to use actual consumption data. Because each supplier charges very different rates for night and day use, how much is used at night and how much is used during the day makes a very important difference to which company will be cheapest. Try to avoid using the industry estimate of 55% night time use as it can give a very misleading result. Most comparison websites ask for total electricity use per year in kwh and a night time percentage. To find out the night time percentage use bills or statements to work out how much electricity in kwh has been used for day and night use and add them together to find the total consumption in kwh. The night time percentage is calculated by dividing the night time consumption in kwh by the total consumption in kwh and then multiplying by 100. It is vitally important that consumers understand how to use these tariffs and transfer as much of their electricity use to the cheap periods as possible. This may require the use of timers on certain devices and making sure that consumers understand how to use the timers. Economy 7 and Economy 10 consumers who use a lot of electricity during the day will find that they get very large bills. Limitations on switching There are certain circumstances where consumers cannot switch to a new gas and electricity supplier. Consumer debt Consumers who use a standard credit meter cannot switch their gas and electricity supplier if they have an outstanding balance on their account. This is normally overcome by the old supplier sending out a final bill and the consumer paying the balance. However, for people with large debts the energy supplier may object to the transfer, resulting in the switch failing. In theory, prepayment meter users can still switch supplier if they owe less than 200 by using the Debt Assignment Protocol. This is an industry-agreed process that allows debts below this level to transfer with the customer to the new supplier. The consumer will then continue to pay off the debt in the same way as before. When a prepayment meter user with a debt applies to change supplier the existing supplier will object to the transfer and it will be put on hold whilst the consumer is asked to give consent for the new supplier to have access to their current supplier s account records. Failure to agree through signing and returning the permission letter means the switch will fail. This system is very rarely used and usually fails when consumers do not agree to the transfer of data, meaning the consumer stays with their existing supplier. Potentially, the Debt Assignment Protocol is a very useful way for consumers with less than 200 debt to reduce their weekly costs and so pay off their debt sooner. Advisers should explain the process before initiating the switch so that consumers do agree to the transfer of data records. Ofgem should be advised of any failed switches due to suppliers refusing to use the Debt Assignment Protocol. Ofgem can be contacted through its website,

17 Dynamic teleswitching (DTS) Some consumers have meters installed in their home which limit the price plans they can sign up to because there are a limited number of suppliers who offer suitable tariffs. Examples of this type of meter are Dynamic Teleswitched meters or three-rate meters, which are usually found in Scotland. DTS users might find that switching websites do not show their tariff package or that there are no competitive tariffs available from other suppliers. It may not be practical to change the metering and home heating systems to a normal tariff. In general it is not possible to find out whether consumers on these tariffs are getting a good deal or not. Green tariffs Although not all prepayment meter users can sign up to green tariffs it may be that consumers who switch supplier want to sign up to one. Few consumers have signed up to green tariffs, and consumer confusion may be one reason for this lack of take-up. Unless consumers start producing their own energy using solar panels, wind turbines or the like, it is difficult to see how they can go green. Consumers still need to get their energy from a supplier and that will need to come via their existing pipes and wires. Gas can t be green because it comes from fossil fuel, and any electricity produced from a renewable source is not guaranteed to get into your home as it goes into the mix of electricity from nuclear and fossil fuels. How tenants can benefit from cheaper energy without switching Switching supplier and payment method may not be suitable for all tenants and some tenants may switch back to more expensive suppliers due to door-to-door sales activity. Some housing associations have sought to overcome this by forming a company to buy gas and electricity wholesale and sell it on to their tenants. Aggregation deals such as EnergyExtra ( offer an opportunity for housing associations to help their tenants access cheap gas and electricity without having to continually change supplier. Tips for prepaying customers Energywatch published a reference manual and an internet-based tool to help people understand how to resolve the different problems that commonly affect gas and electricity consumers. These tools, as well as leaflets and reports from Energywatch, are hosted on the website of Consumer Focus (the body which replaced Energywatch and other consumer watchdogs) and can be accessed at Tips and useful information for prepayment customers PPM users going on holiday should make sure they charge their cards with plenty of money to ensure the supply is not interrupted over the holidays. PPM users should contact their supplier immediately if the meter develops a fault. Emergency credit is the amount of credit preprogrammed into the meter to ensure the supply remains on for a short period until more credit is added. A wind on is the amount of credit an engineer can add to the meter if they need to come to fix a meter fault. Please note emergency credit or a wind on may need to be repaid. If a prepayment card or key is lost, stolen or faulty, some suppliers offer a service where consumers can collect a replacement from the local PayPoint/ Payzone or Post Office. This will restore supply without the need to call out an engineer. PAGE 17 SECTION 4

18 Section 5: How to save money by changing payment method or supplier There are three ways to switch and save money: Change to a cheaper way to pay for gas and electricity. Change to a different gas and electricity supplier or a better tariff/ price plan. If eligible, change to a social tariff. Change to a cheaper payment method Changing the payment method is the most effective way to save money. The price differences between payment methods vary between companies and can be very large indeed. The cheapest way to buy gas and electricity is to pay by monthly direct debit with an account managed online. Changing to this payment method will, at current prices, save about 100 a year. Energy tariffs (sometimes called price plans or payment methods) In general there are seven different types of energy price plan: 1 Prepayment meter. 2 Paying by cash/ cheque when the bill comes. 3 Paying by direct debit. 4 Signing up to an online tariff, managing the account online and paying by direct debit. 5 Fixed price or capped price tariffs for a set period of time. This usually requires the ability to manage the account online and to pay by monthly direct debit. 6 Fuel Direct. 4 7 Budgeting payment schemes (weekly/fortnightly or other flexible payment schemes). The table in Figure 1 shows the latest information on how people pay for gas and electricity. 4 Fuel Direct is a payment method for those consumers on income support where the government puts aside some of their benefits to pay for energy bills.

19 People who can manage their account online and pay by direct debit will access the cheapest tariffs currently available in the market. There are special offers available to online customers and the best way to work out the cheapest deal is to use a comparison website. See How to find out about the best prices in your area in Section 4. Some suppliers will allow other payment methods for their online accounts, but these do not attract the same low prices as paying by direct debit. Managing an account online is straightforward. All it means is that consumers will get bills sent to them by or through a secure website (much like internet banking), and they will be asked to enter meter readings online. Consumers will need to access the internet only a few times a year to manage their account effectively. Paying by offline, conventional direct debit is the next cheapest option, which still offers savings over paying by cash/ cheque. On average, paying by cash or cheque costs a bit more than prepayment meter. Around a third of consumers still pay this way. Some consumers have concerns about using direct debits, often caused by the unpredictability of the payments and the fear that a larger than expected direct debit payment could cause a bank account to become overdrawn. An average consumer able to sign up to an internet tariff, manage their account online and pay by direct debit should be able to save around 69 a year compared with using a prepayment meter. Changing from a prepayment meter to payment by any other method will require a change of meter. There is more information on meter types on Page 13. Consumers must be certain that they can budget effectively without a prepayment meter as the costs of going into debt and having a prepayment meter reinstalled can be considerable. PAGE 19 Figure 1 Payment methods for gas and electricity, January 2010 Monthly direct debit (online or offline) Prepayment meter Quarterly cash cheque Fuel direct Budgeting payment schemes Gas 50% 15% 28% 0% 3% 4% Elec 47% 17% 30% 0% 2% 4% Other Source: Ofgem report Monitoring Company Performance Q SECTION 5

20 PAGE 20 Changing from a prepayment meter to a credit meter While prepayment meters are the preferred payment method for some people, if they are able to budget without the use of the meter and they have no debt or recent history of debt, it should be relatively easy for them to exchange their PPM for a credit meter. Most energy companies reserve the right to charge to install a credit meter, but usually they will do it for free. Some companies insist that people switch to direct debit when they change a prepayment meter. Companies may undertake a credit check and as a result ask some people for a security deposit. Some consumers have encountered difficulties when trying to exchange a prepayment meter for a credit meter. This is usually because the company will initially refuse to complete the exchange or will deny that it is possible to exchange a prepayment meter for a credit meter. It is not clear why people sometimes encounter these problems. All the energy companies have confirmed to Energywatch that they will exchange any prepayment meter for a credit meter using the following policies: British Gas Npower E.ON Won t exchange prepayment meter if it still has a debt. No charge for people who inherit a prepayment meter through moving into a home which already has one installed provided they pass a credit check. No charge for changing prepayment meter if customer has no debt, and meets certain credit checks or has a 12-month payment history with supplier. Consumers will be charged 60 for gas and 60 for electricity exchange. Won t exchange prepayment meter if it still has a debt. No charge for people who inherit a prepayment meter through moving into a home which already has one installed provided they pass a credit check. E.ON charges 50 per meter. They will charge the full cost if they have to reinstall a prepayment meter. Scottish Power No charge if consumer has no debt, but Scottish Power may charge a security deposit for people with a poor payment history. EDF Energy, Scottish Hydro, Southern Electric SWALEC Each of the above suppliers charges 52 per meter to have it removed. Consumers will be charged for gas and for electricity exchange.

21 Change to a different gas and electricity supplier Changing supplier should be a simple process which can be set in motion over the phone in one short phone call and the whole process should take about six weeks to complete. It should be no more difficult than changing mobile phone provider. The new supplier will organise everything and once the consumer has agreed to switch, the only thing they need to do for the process to complete is take a meter reading on the transfer day. Most companies will confirm the new deal by letter, which the consumer might be required to sign and return. The new supplier should keep the consumer informed about how the transfer is progressing and tell them the date on which they will change energy company. Once the most suitable deal has been identified, changing supplier follows the steps below. Step 1: Consumers should get in touch with the new supplier(s) and agree to buy their gas and/ or electricity from them. It will help if the consumer has their electricity and gas meter readings as well as a recent statement or bill to hand when they call. Step 2: To make the process go more smoothly, consumers are advised to inform their old supplier(s) of their intention to leave. (The new supplier will automatically inform the old supplier of the impending transfer.) Consumers should initially do this by telephone and then follow up with written confirmation. Step 3: In theory prepayment meter users can still switch supplier even if they have an energy debt of up to 200. Any debt transfers to the new energy supplier and is paid back in the same way as before. It won t cost anything to transfer a debt, but the new electricity or gas company will need some information about the debt before the transfer can take place. This process is available to consumers but has hardly ever been used successfully. Step 4: The consumer should take a meter reading on the day they change supplier (the date advised to them by their new supplier). The payment meter users MUST NOT continue using their old key or card after the transfer date as the payments will go to their old, rather than their new, supplier. It can be a complicated and drawn out process to get these misdirected payments transferred from the old supplier to the new supplier, potentially leaving the consumer in debt and without the gas or electricity that they have paid for. PAGE 21 SECTION 5

22 Section 6: Help for your tenants - social tariffs and assistance schemes All of the Big Six energy suppliers offer reduced price tariffs to people who are fuel poor. Eligibility is usually related to the receipt of an incomerelated benefit or being over a certain age. Some suppliers also offer trust funds which award grants to help people clear their debts. Some suppliers also offer one off rebates. Home Heat Helpline The Home Heat helpline is a free, central phone number offering practical advice for people concerned about paying their energy bills. The helpline is staffed by specially trained advisors who can advise tenants on what social tariffs, special grants and services are available to make sure they don t suffer over the winter. It is open from 9am to 8pm Monday to Friday and 10am to 2pm on Saturdays. You can access the helpline by calling or on minicom and the helpline has access to an interpreting service. Current social assistance from the main suppliers British Gas Essentials Combined To be eligible for Essentials Combined you must have an income of less than 15,000 per year and must be: in receipt of Disability Allowance or Assistance Allowance or be over 70 on pensions credit or suffer from a terminal illness The tariff is on average 16% cheaper than the standard tariffs and could save dual fuel consumers an average of 122 per year. The tariff includes: customised customer services dedicated helpline extra care flag

23 quality of life assessment charity partner referrals ESR assessment free insulation and CERT products account assessment benefits health check referral to Money Advice Trust/BGET To apply telephone British Gas Energy Trust This is an independently run charitable trust which British Gas has set up which can help consumers reduce or clear their energy debts. It may also be able to assist with other essential household bills or costs. To apply you must be an existing customer of British Gas. To apply telephone EDF Energy Energy Assist To be eligible for Energy Assist you must be a customer of EDF Energy and spend more than 10% of your total net annual household income on annual household energy costs, or be in receipt of Income Support and/or receive Pension Credit benefits. Eligible consumers regardless of payment method are charged on the same tariff as direct debit customers, plus there is an annual discount of 75 for dual fuel customers (or for single fuel customers). The tariff includes free: energy efficiency advice or heavily discounted energy efficiency measures (eg insulation, draught proofing, light bulbs, etc.) benefits entitlement check To apply telephone EDF Energy Energy Trust This is an independently run charitable trust which EDF Energy has set up which can help consumers reduce or clear their energy debts. It may also be able to assist with other essential household bills or costs. To apply you must be an existing customer of EDF Energy. To apply telephone E.ON Energy WarmAssist To be eligible for Warm Assist you must be aged 60 or above and in receipt of Pension Credit, Disability Living Allowance or Attendance Allowance, or have a high energy consumption arising out of a medical condition (at E.ON Energy s discretion). The tariff includes: up to 15 per cent discount on standard electricity and gas prices energy efficiency audit energy efficiency measures including free installed cavity wall and loft insulation up to 370 benefits entitlement check access to E.ON s Caring energy Fund providing grants to install heating systems and the purchase of essential appliances energy saving pack easy referral to other support agencies and registration with E.ON s Priority Service Register To apply telephone PAGE 23 SECTION 6

24 PAGE 24 npower Spreading Warmth Tariff To be eligible for Spreading Warmth you must have a gross annual household income below 13,500 and someone in the household who is: 60 or over, disabled, chronically sick, or a child under 16. Spreading Warmth is npower s social tariff and is their cheapest tariff regardless of payment method. The tariff currently offers average annual savings compared to their standard prices of over 20 per cent for the dual fuel cash/cheque and prepayment customer. To apply telephone Scottish Power Fresh Start To be eligible for Fresh Start you must be 60 or over and in receipt of qualifying benefits. The tariff offers consumers access to their current best tariff price which is equivalent to discount online direct debit rates. The tariff includes: benefits check to ensure consumers are claiming all the benefits they are eligible for energy efficiency advice To apply telephone npower First Step Scheme The First Step Scheme offers advice and help if you re struggling to pay your npower bills. The scheme offers: advice about paying npower bills First Step advisors will work with consumers on a one-on-one basis to help them manage their energy bills the advisors will set up a payment plan that suits the consumer s circumstances, and provide advice on how to save energy and money around the home. Some consumers may be eligible for help from the First Step Fund, which could clear all or part of the debt owed. If eligible, the debt will be placed on hold for an agreed period of time, as long as the consumer commits to a payment plan and doesn t default on payments. After an agreed period of time (no less than six months) the First Step fund may write off all, or some, of a consumer s debt. If the consumer is in quite a lot of debt the fund may clear it in several instalments as long as regular payments are maintained. To apply telephone Scottish and Southern Energy (also known as Southern Electric, Scottish Hydro or SWALEC) Energyplus Care To be eligible for Energyplus Care you must be an existing customer of Scottish and Southern Energy and spend 15 per cent of your total household income on your energy bills. Assessment of eligibility will include a review of the type of property and its energy efficiency status, income or benefits received and disability or chronic illness. Energyplus Care gives you up to 20 per cent discount on current fuel prices, regardless of which payment method you use. The tariff includes free: energy efficiency advice to help save even more money on future bills energy efficiency measures, from low energy light bulbs to a free fridge or a discounted fridge/freezer benefit entitlement check To apply telephone Scottish and Southern Energy Winter Care Rebate The Winter Care Rebate scheme is offered to those who are not eligible for the Energyplus Care tariff. If you are identified as experiencing difficulties with your fuel bills and are spending 10% or more of your income on fuel costs, you will be eligible for a 50 rebate for each account held by the supplier.

25 Priority Service Register The Priority Service Register (PSR) can assist some vulnerable consumers in their engagement with energy suppliers by providing a suite of free services that improve safety, security and communication. These registers also help inform suppliers who their vulnerable consumers are. Energy suppliers are obliged to offer these services, although some suppliers have rebranded their registers. Domestic consumers will qualify for the register if one or more of the following applies to them: Of pensionable age. Have a disability. Chronically sick. Are hearing and/or visually impaired. The free services offered by the Priority Service Register are: Password protection scheme: This scheme helps reassure consumers that a caller is genuine. Consumers agree a unique password with their gas and electricity supplier(s) that will be used whenever their staff visit their home. Meter reading: It is very important that bills are based on the energy used. If no one is able to read the gas or electricity meter, the gas and electricity supplier will arrange for the meter to be read every quarter and bills sent out based on these readings. Without accurate readings, people can be faced with catch-up bills running into thousands of pounds. Accessing prepayment meters: If a prepayment meter cannot be accessed then, providing that it is safe and practicable, the gas or electricity supplier can move the meter to a more accessible location, free of charge. Special help if the gas supply is disrupted: If the gas supply has been disrupted or turned off for safety reasons and if ALL adults living in the household are eligible for the Priority Service Register, the gas supplier will provide alternative cooking and heating facilities. Advance notice if the electricity supply has to be interrupted: Consumers who rely on electricity to power vital medical equipment can get advance notice if the electricity supply has to be interrupted for planned work. Bill nominee scheme: A copy of gas and electricity bills can be sent to a friend, relative, or the address of a carer so they can help the consumer read and check or pay the bill. Services for visually impaired or hearing impaired consumers: The gas or electricity supplier can provide consumer information, including meter reading and bills, in a suitable format, eg braille, large print, audio tape, textphone or typetalk. Energywatch has produced a leaflet explaining the Priority Services Register and the free help it provides. The leaflet can be found on the Consumer Focus web interface at It is strongly recommended that eligible tenants are urged to register. Registration for the service is undertaken on request by the energy supplier. Each energy company has a different name for the Priority Service Register. These are given below. British Gas Home Energy Care Register; EDF Energy Priority Services Register; or E.ON Priority Services Register; or register online at: uk.com/ ContactForms/ priorityservices.aspx Npower Warm Response Service which can be contacted via the Warm Response Line on Scottish Power and Manweb Carefree Priority Services Register; Scottish Hydro Southern Electric and SWALEC Careline; PAGE 25 SECTION 6

26 PAGE 26 External resources to help your tenants The gas and electricity market in England, Wales and Scotland is regulated by Ofgem, Ofgem has the powers to enforce legislation and regulation. Ofgem does not deal with individual consumer complaints. Consumers and their representatives can seek help and advice from Consumer Direct, on or by phone on (in Welsh: ). Minicom users should use The consumer representation body Consumer Focus can investigate complaints from energy consumers relating to a disconnection or a threat of disconnection, or complaints made by or on behalf of vulnerable consumers. The Consumer Focus website will be The Energy Supply Ombudsman investigates complaints where consumers and the energy company cannot agree on a resolution. However, there are strict criteria governing which complaints the Ombudsman will accept. More details about the Energy Supply Ombudsman can be found on bills or statements or on The Energy Efficiency Partnership for Homes runs free training courses for people wanting to set up and manage sustainable energy or fuel poverty projects and also publishes an interesting newsletter. Membership of the partnership is free and more information can be found at The Energy Saving Trust manages a network of local energy advice centres now rebadged as the Green Homes Service. These organisations may be able to work in partnership with housing associations to manage energy advice clinics. They can be contacted through their national number An Energy Saving Trust briefing note on cross-departmental working is available at: uploads/documents/housingbuildings/interna l_partnership_bn_one_pager.pdf. Housing associations can benefit from the Energy Saving Trust s Practical help service, which offers: A free enquiries service they offer up to two hours research for every enquiry on sustainable energy issues. Enquirers can phone or the team on or practicalhelp@est.org.uk. Free tailored presentations on a range of sustainable energy topics. Up to three days consultancy on setting up an energy services scheme. A comprehensive website including news, a funding database and events listings. The Energy Saving Trust also offers the following resources: Energy efficiency: the guide: a comprehensive source of information for housing management organisations across the UK, with 16 chapters on subjects such as energy strategies and energy advice for tenants: housingbuildings/localauthorities/theguide The Tenant Empowerment Toolkit, which was developed in conjunction with the Housing Corporation and helps housing associations advise tenants about reducing energy usage by making changes to their lifestyle and working with other people and organisations. This publication can be ordered from the Practical help team on the contact details above. The opportunity to sign up for their newsletter and e-news, which will keep housing association staff up-to-date with the latest news, legislation and resources. Eaga manages a number of government- and industry-backed schemes to improve the energy efficiency of homes. While housing association tenants may not be eligible for assistance from the schemes managed by Eaga, the organisation s local projects can be a very useful way of attracting local residents to advice clinics. It can be contacted through the website National Energy Action is an independent charity which campaigns on fuel poverty and energy efficiency issues (see

27 The charity has managed a number of outreach projects and may be able to assist housing associations in the areas where they operate. NEA also runs training courses on energy efficiency and fuel poverty, of which details are available on the website. It has also produced a toolkit for councils to use when developing an affordable warmth programme. It contains some useful suggestions and can be found at Publication-Files/beatingthecoldeng.pdf. NEA has also published two guides for housing associations: Working as an Energy Champion in your Housing Association (May 2008), a guide for energy champions and staff in housing associations on the issues of fuel poverty and affordable warmth. Advises housing association staff on how to work with both individual householders and the wider community to ensure that every tenant is able to heat their home affordably. It can be downloaded for free from cation-files/neaenergychampion.pdf. Keeping warm in your home. A Housing Association tenant s guide (April 2008). This booklet is designed especially for people who rent from housing associations. It provides information that may help people reduce bills whilst still keeping warm. It can be downloaded for free from Publication-Files/Housing AssociationTenantsGuide.pdf. Child Poverty Action Group (CPAG) publishes the Fuel Rights Handbook This book is well established as the standard practical guide to the rights of gas and electricity consumers. It is helpful for any adviser helping clients cope with fuel bills, debt and related problems with fuel supply. The Association of UK Energy Agencies (AUKEA) promotes and supports the activities of independent energy agencies that are engaged in either energy saving or fuel poverty work. A list of their members is available on the association s website Climate Energy ( is another advice agency but does not feature on this list. A number of housing associations have worked with local authorities on energy strategies, improving the housing stock and developing databases with energy efficiency information. Some examples include: New Progress Housing Association worked closely with South Ribble Council on a borough-wide energy strategy: documents/housingbuildings/ha_energy_ strategy_new _progress_cs.pdf. A number of housing associations are members of the Cornwall Sustainable Energy Partnership, a partnership combining the expertise and knowledge of organisations within the public, private, health and community sectors with the aim of achieving a sustainable future for Cornwall: uments/housingbuildings/cs_csep.pdf. A number of gas, electricity and water companies have established trust funds to help people who are struggling to pay their bills. The British Gas Energy Trust provides some useful information including a booklet which describes the assistance available for people struggling to pay their bills and a list of other trust funds that may be able to help. This can be found at: Charis manages a number of trust funds; further information is available on their website at The Third Sector Declaration on Climate Change is intended as a statement of intent from third sector organisations to tackle the issue of climate change by taking action in their organisations and communities: index.htm. PAGE 27 SECTION 6

28 PAGE 28 Section 7: How to make a complaint How to complain and who to complain to Consumers should first take any complaint to their energy company. Consumer Direct can give advice on how to do this. The new consumer representation body Consumer Focus can investigate complaints relating to a disconnection or a threat of disconnection or complaints made by or on behalf of vulnerable consumers. When consumers cannot come to an agreement with their energy supply company they can take their complaint to the Energy Supply Ombudsman (ESO), who will settle the case. However, there are strict criteria governing which complaints the ombudsman will accept and consumers should make sure they understand these early in the complaint procedure. More information on the ESO can be found at: Making a complaint over the telephone Consumers should make sure they have a copy of all documents they may need, eg relevant letters, bills and notes from previous calls, etc to hand. Consumers should make a note of what they want to say before making the call. Consumers should stay calm and speak clearly about how they want the problem resolved. Consumers should make a note of the name of the person they speak to, the telephone number called, the date and time of day and what was said. At the end of the conversation, consumers should make sure the company explains what will happen next and when by, and note this down.

29 Writing to your company The address to send the complaint to can be found on a bill or statement or by asking the energy company. The letter should include the consumer s name, address and account number as well as a telephone number. The letter should explain the problem fully, including key dates and times of incidents as well as how the consumer wants it resolved. Consumers should keep photocopies of evidence such as receipts, photos, letters and bills that support the complaint. Consumers should always keep a copy of letters they send to their energy supplier. Energywatch has a letter wizard to help construct letters of complaint. It is now available on the Consumer Focus website. Tips on making a more effective complaint Consumers should find out about the supplier s complaint handling procedure. The procedure can be found on the supplier s website or the supplier can be asked for a copy. Consumers should ensure that the company logs the complaint and that they keep a note of the reference number. Consumers should keep track of the complaint and keep records of every contact. Energy companies can lose records, forget about the complaint or even deny all knowledge of the complaint. If the consumer is not satisfied with the way the complaint is being dealt with, they should ask for it to be escalated. Sometimes the supplier s Customer Services department will help resolve a complaint more effectively than, say, the Debt Recovery department. If the complaint is unresolved after eight weeks, or if it is not possible to reach an agreement about the complaint, then the supplier must issue a deadlock letter. This letter will state the company s final position. Once a deadlock letter has been received, the complaint can be sent to the Energy Supply Ombudsman asking them to investigate the issue. More details about the Energy Supply Ombudsman can be found on bills, statements or on the website Complaint handling standards The gas and electricity regulator Ofgem has set complaint handling and redress standards that are binding upon energy suppliers. These became live on 1 October The key elements which Ofgem has included in the complaints handling standards regulations are: A common definition of a complaint. A requirement to record complaints upon receipt and subsequently. A requirement to have a complaints handling procedure. A requirement to signpost the complaints handling procedure. A requirement to signpost the redress scheme. A requirement to agree arrangements with Consumer Focus for handling vulnerable consumers and threatened or actual disconnections. A requirement to agree arrangements with Consumer Direct for referrals. A requirement to deal with consumer complaints in an efficient and timely manner. A requirement to publish information on complaints. PAGE 29 SECTION 7

30 Section 8: Contact information Alliance Gas Ltd - now Statoil UK Atlantic Electric & Gas British Gas Trading Ltd Central Networks Eastern Region Central Networks Western Region Countrywide Farmers Plc CPL British Fuel E.ON Energy EBICo Ltd Economy Gas Ltd Ecotricity EDF Distribution East of England EDF Distribution London EDF Distribution South East EDF Energy Good Energy Limited Green Energy (UK) plc Independent Power Networks London Energy Plc National Grid (formerly Transco) General Enquiries NEDL Northern Gas Networks Npower Pennine Natural Gas Ltd Scotland Gas Networks Scottish Hydro-Electric ScottishPower Seeboard Energy Severn Trent Energy Southern Electric Distribution SP Energy Networks Manweb SP Energy Networks Scotland SWALEC Telecom Plus United Utilities Universal Energy Utilita Services Limited Western Power Distribution (South Wales) Western Power Distribution (South West) YEDL

31 Contact numbers for prepayment meter customers British Gas Pay as you go energy EDF Energy npower E.ON Energy ScottishPower Payment_Methods/Payment_CardPrepayment/ Scottish and Southern Energy Southern Electric & Atlantic: Scottish Hydro: Electric SWALEC: Electric Emergency contact numbers for all consumers Gas Gas Emergency Contact Number Electricity Central Networks Eastern Region Central Networks Western Region EDF Distribution East of England EDF Distribution London EDF Distribution South East Independent Power Networks NEDL Scottish & Southern Energy (South) Scottish Hydro-Electric SP Energy Networks Manweb SP Energy Networks Scotland United Utilities Western Power Distribution (South Wales) Western Power Distribution (South West) YEDL SECTION 8 PAGE 31

32 Section 9: Learning from the Castle Vale project Energywatch (now Consumer Focus) and Castle Vale Community Housing Association (CVCHA) ran a joint project between February and April 2008 to encourage people using prepayment meters to change to the cheapest gas and electricity supplier. The project aimed to assist 250 households in moving to a better deal but actually only provided detailed support to 40 households, and resulted in just 19 consumers changing supplier. It is estimated that on average consumers who switched supplier when advised by the project saved about 90 on their electricity accounts and about 125 on their gas accounts per year (the savings customers can now make have come down because of the impact of our campaign). Because the project only measured outcomes (consumers who switched supplier or received assistance from Energywatch), at first glance it appears to have had a very low success rate when compared to other projects. However, from Energywatch s perspective the project was a real success and taught us valuable lessons: It saved those consumers who did switch considerable sums of money for a relatively modest outlay. It achieved very positive outcomes for some consumers who otherwise would not have known how to get help with the problems they were experiencing (eg preventing a disconnection for debt; instigating transfers to suppliers social tariffs; moving eligible customers to Fuel Direct wherever appropriate, and securing debt write-offs in some instances). Any similar project should either put in place the capability to help consumers directly with their account problems, or establish a defined referral route to specialist advisers for consumers in need. The next section explains what was attempted, what worked and what didn t work, and what we learned from follow-up focus groups run by MORI. It also gives some ideas for improving the effectiveness and reach of similar projects.

33 Practical aspects of the project Advice sessions and street outreach The project ran 19 different advice sessions for Castle Vale residents. Three days of street outreach were also held using a mobile advice centre at various locations around Castle Vale where residents congregated such as schools, the high street, swimming pool, etc. At the advice sessions, trained Energywatch advisers gave one-to-one advice on which supplier would be the cheapest and either helped the consumer to complete an application form to transfer to the identified supplier, or helped them contact that supplier by telephone in a private area. Actually helping consumers to switch there and then, rather than just providing advice and leaving it up to people to act, was considered to be important in ensuring people did actually make the switch. Consumers were also offered advice to help them deal with any other problems with their gas or electricity accounts. This actually proved to be the most popular aspect of the project, as over half the consumers who attended the advice sessions came primarily to get advice to help resolve an ongoing problem. Many consumers who came for advice were unaware that Energywatch existed and had struggled to solve their account problems themselves. The types of problems the project helped resolve were mostly related to bad billing, misselling, debt or metering issues. These problems should be relatively simple to resolve. The MORI focus groups identified a lack of awareness of the project, apathy about changing supplier and lack of knowledge of the energy market as the main reasons why the project failed to engage the numbers of consumers which had been hoped for. Each advice session attracted a number of consumers who were looking for information but unwilling to commit to transfer there and then. Some returned for further advice a number of times and then committed to change, while others took the advice away, stating that they would then discuss it with their partners. The most successful aspect of the outreach was when residents gave personal referrals to the project. One Castle Vale residents association endorsed the project, meaning many of the residents of that particular area subsequently engaged with the project and switched supplier. Publicity material Energywatch used a range of publicity material. Some 1300 postcards (addressed to named individuals) were delivered by Royal Mail, and over 500 leaflets were hand delivered or given out in the street. Flyers advertising the project were also left at popular locations in the area and posters were put up in all blocks of flats and other venues such as the library, neighbourhood office and some local shops. CVCHA rent statement letters also included information about the project. The MORI focus groups identified that most of the publicity material had failed to engage residents. Coloured flyers on card were seen as the most effective medium, as these contained short, punchy messages which people could use to make decisions. The flyer shown in Figure 2 was considered to be the most effective one. The focus group felt it was striking, clearly identified Energywatch as independent and not one of the energy companies, and explained which suppliers were the cheapest, enabling people to make simple but informed decisions. The MORI focus groups identified a general apathy towards leaflets or letters discussing energy, and few residents read any of the additional information which accompanied rent statements. This was reflected in the fact that only five residents actually attended the sessions it advertised. As an alternative, residents suggested local radio adverts, bus posters and posters on lamp posts on the main routes through the area. Residents wanted to be told by a body they trusted that they should switch supplier or payment method; and they wanted to be reminded of this simple message repeatedly. The need for repeated advice was something the project team noticed through the number of people who returned for advice on several occasions. PAGE 33 SECTION 9

34 PAGE 34 Figure 2 Energywatch flyer used in Castle Vale project: back Figure 3 Energywatch flyer used in Castle Vale project: front

35 Sessions held in housing association offices The sessions in the CVCHA offices were held in the entrance foyer, with access to private consulting rooms and the internet. There were enough advisers to ensure that no one waited for more than a few moments for advice. Using the internet to show consumers which supplier would be cheapest for them proved very popular. Generally when consumers saw the results on screen of a quote made through a switching website they were far more likely to trust the information that X company would be the cheapest. This was often reinforced when several quotes were obtained from different websites. This was much more effective than using comparison sheets or printouts of prices based on standard consumption patterns. On this basis, it is vital that any project providing advice on how to switch supplier has ready access to the internet. No use was made of telephone comparison services. Timing and location of advice sessions None of the advice sessions proved more popular than the others. The MORI focus groups identified a desire for morning sessions to be held in neutral or community venues as a few residents felt they didn t want to come to the housing association offices for advice sessions. Strike whilst the iron is hot The project generally saw two types of contacts: those people who had decided they trusted the project and would act on the advice given; and those who were thinking about changing energy supplier and would take away the advice for further consideration. The project worked hard to create confidence in the latter group, so that they would actually make the switch. The project made sure that people could switch during the advice session, either by completing and signing a form which the project would send to the relevant supplier or by using one of the project s phones to call the supplier and switch. Helpline The project made use of the national Energywatch helpline, because it is staffed outside normal hours and it proved difficult to get a new number specifically for the project within a reasonable timescale. Text back service Due to the cost of calling 08 numbers from mobile phones and the low incidence of landlines amongst some socio-economic groups, the project set up a service using an ordinary mobile phone where interested people could text in their phone number and the project team would call them back. Despite widespread publicity, this service was not used by anyone. Helping consumers find the best deal for them The project advised consumers of the best deal for them through the use of the price comparison websites. Finding the best deal requires advisers to understand the consumer s consumption patterns. This is especially important for Economy 7 users. This is best achieved by studying the customer s bills or statements, and consumers should be urged to bring bills or statements along to advice sessions. For more information see How to find out about the best prices in your area on Page 15. PAGE 35 SECTION 9

36 PAGE 36 Incentives A 10 cash incentive proved insufficient to get people to engage with the project and complete diaries of their switching experience to aid project evaluation. Only two diaries were returned. People were engaged by free light bulbs and these proved to be a popular draw on the street outreach. Free light bulbs can often be sourced from energy companies, especially if housing associations can certify that they will be distributed to low-income, elderly or other additionally disadvantaged groups. On average it was expected that people who switched to the cheapest prepayment deal would save around 200 a year and this figure was used prominently and extensively in the publicity material. However, this did not appear to be a spur to action, possibly because people did not actually believe they would save money a cynical view expressed by some consumers in the MORI focus groups. It may be more effective to translate this figure into a weekly saving or comparing it to a product, such as X weeks free bus travel or X weeks free energy (at current prices 200 translates to about two months expenditure for an average gas and electricity PPM user). Discussing switching with consumers in the street Energywatch found it very difficult to discuss gas and electricity issues with people in the street due to the public s general lack of interest and their unwillingness to talk to people they thought were energy company sales staff. Residents of the area regularly confused Energywatch staff with energy company door-to-door sales agents and did not understand why an organisation would come to the area to give advice without there being a catch. Usually, however, residents were convinced of the independence of Energywatch when reassured by a member of CVCHA staff. It is vital to the success of any similar project to make sure that people trust the independence of the advisers and do not associate them with an energy supplier. The work necessary to achieve this should not be underestimated, but the use of branded housing association clothing and familiarity with any advisers built up during a longer-term project should help. People were not prepared to be referred to a different location such as an office or private room for a more detailed consultation, so that it proved impossible to give advice using the internet during street outreach. It is not recommended that street outreach work for this kind of project is attempted outdoors and without access to the internet. Working in shopping centres The Castle Vale area has two separate shopping areas: a short high street with small shops, a library and the CVCHA offices, and a medium sized retail park which contains a Sainsbury s supermarket, post office, pharmacist and other stores. The project was unable to gain permission to work on the retail park and the outreach on the high street was ineffective because of the very low number of people who used the high street on the outreach day. Sainsbury s has its own energy brand and was actively selling gas and electricity in its store on the retail park. Getting permission to promote switching on retail parks where retailers themselves sell energy may be problematic. However, work by the University of East Anglia, supported by Energywatch, in the Forum shopping centre in Norwich in March 2008 attracted 80 participants, demonstrating that this kind of outreach can be successful in some instances.

37 Working outside schools It was the project s intention to engage parents outside the three primary schools in the area after they had dropped their children off in the morning, or before they collected them at home time. The use of a mobile advice centre parked outside the schools was intended to allow parents to understand what the outreach workers were doing. Schools and the local police were informed ahead of the sessions. The days chosen for this work were blighted by very cold, windy weather. In addition, in the previous two days young people had been abducted on their way home from schools. This made for a very distrustful atmosphere and prevented almost any engagement with parents when they had their children with them. This makes it very difficult to evaluate whether this kind of outreach would be effective in other circumstances. Parents did seem more prepared to engage with the project when the mobile advice centre was adjacent to the advisers. Working without familiar branding seemed to be ineffective. The project did find that parents were willing to engage in the morning after they had dropped their children off, but not for sufficient time to allow a detailed advice session. Therefore leaflets were produced which explained the project and why it was important to act and gave contact details for the project. These were then distributed to passing parents. Very few parents responded to these handouts by seeking further advice. Parents with grown-up children Parents of working age children as well as consumers with elderly parents showed a real interest in helping their relatives and friends to switch to a cheaper deal. It is, however, extremely difficult to provide a concise summary of this topic due to the complicated nature of the energy market and the range of possible personal circumstances. The Energywatch website currently has an advice section which explains how to find the best deal and how to switch. This section will be transferred to the new Consumer Focus web interface and it is suggested that people are urged to consult this when they want to advise friends or relatives. Where people want to help parents switch to the cheapest deal it is recommended that they are advised to enrol their parents on the Priority Service Register (PSR see page 25). This also offers a service for managing their parents account through the Bill Nominee Scheme. This has the potential to enable people who cannot use the internet, but whose children do have access to the internet, to benefit from much cheaper online tariffs. SECTION 9 PAGE 37

38 PAGE 38 Ideal length of project The project was designed to be intensive, of a short duration and to build momentum. It also had to be completed during the life of Energywatch. This gave little time to learn and modify the way the project delivered advice sessions. In retrospect, a less intensive but longer project, conducted during the summer when the weather would have been better, may have delivered greater effectiveness. Door-to-door selling Neither Energywatch nor CVCHA felt comfortable engaging in door knocking to offer advice to people in their own homes. The main reason was the very poor reputation that doorstep selling agents have acquired. That said, doorstep selling remains the main channel that prepayment meter users use to get information when deciding on which supplier to choose. Surveys suggest that up to two-thirds of prepayment meter users use door-to-door sales agents as their only source of information on gas and electricity prices. This leaves PPM users open to mis-selling. Ofgem, the gas and electricity regulator, found that in % of electricity and 56% of gas prepayment meter consumers who switched supplier actually switched to one of the three most expensive suppliers, which suggests that mis-selling has taken place to some extent. The project itself suffered from mis-selling, as a number of consumers who it had helped switch to the best deal subsequently switched to much more expensive deals. It is suggested that any project helping people to change supplier is accompanied by work about the pitfalls of doorstep sales agents. The local Trading Standards office should be able to assist in this respect. Informal contacts and follow-up Many people came to find out how to get the best deal and received informal advice from the project. Getting people to actually switch to a better deal was a challenge within the time available, and in the informal setting that this approach used. Many people want their own time and space to consider any advice given and a number of people seen by the project came for advice two or three times, so it is possible that there is a large pool of people who are considering switching and will need follow-up assistance to act. This project did not have the resources to follow up informal contacts. However, housing associations are in the unique position of knowing, or at least being known to, many of the individuals seeking advice and so will be better able to follow up informal contacts. Getting this follow-up process right will be one of the key issues in making any switching project work.

39 Using the media The project made a decision during the design phase to limit work to Castle Vale area residents. This meant not using radio or newspaper publicity because this may have driven demand from other areas and potentially overloaded the resources of the project. A front page article did appear in the local newspaper at the start of the project, but no residents cited this as a reason for attending one of the sessions. The value of national media coverage in raising awareness of this issue is doubted because during the course of the project Energywatch secured significant national publicity for the problems faced by prepayment meter users. This included a front page article in The Times which was published on one of the days when the project held street outreach sessions. Neither this article nor any other newspaper articles were mentioned by any people spoken to during the advice sessions. This questions the value of print media work, with only the relative success of the local radio phone-ins undertaken by Beat the Cold (page 42) as a guide to what media work might be effective. Impact of price rises during the project During the design stage of the project British Gas and npower (the two dominant suppliers in the target area) raised their prices and three of the other four major suppliers did so in the weeks leading up to the project launch. This generated significant publicity for the issue, with many newspapers and other media outlets leading with price rise stories that mentioned how these would impact on prepayment meter users. Just before the project ceased its advice sessions the last of the big six suppliers raised its prices, which in turn forced EBICo to raise its prices. For Economy 7 users the EBICo price rise was so high that EBICo moved from being the cheapest supplier to the third most expensive supplier, depending on how much electricity was used. This meant that what had been sound advice given in good faith was now inaccurate and all the affected consumers were contacted by Energywatch and advised to change again to the new cheapest supplier. On this basis, it is suggested that projects are not run during a period of price changes. It is also suggested that they maintain a robust record system so that advice can be followed up with consumers if need be. SECTION 9 PAGE 39

40 PAGE 40 Historical gas and electricity prices Unsurprisingly, the project encountered many consumers who were cynical about gas and electricity prices. They believed that whichever supplier was currently the cheapest would also soon increase their prices and lose this advantage. To help counteract this belief, Energywatch produced a series of charts which showed how prices had changed since A graph showing gas prices by supplier is given in Figure 4, and one for electricity prices in Figure 5. These graphs clearly show that for prepayment meter users in the Castle Vale area (the West Midlands electricity region), British Gas and npower have consistently been the most expensive suppliers, and that Scottish and Southern Electric, Scottish Power and EDF Energy have a history of offering lower prices. (EBICo is not shown on these charts because the data was not available). Data is not available to produce similar graphs for all areas and although history is no predictor of the future, the historically cheaper and more expensive suppliers can be seen in Figures 4 and 5. Figure 4 Gas prices, medium user, Midlands Jan 2008 Figure 5-- Electricity prices, medium user, Midlands, Jan 2008

41 There are no commercially available databases of historical prices which housing associations can use to demonstrate historical pricing trends. Figures 6 and 7 show the trend of British average prices since April They generally show British Gas as the most expensive supplier of gas and npower as the most expensive supplier of electricity to the PPM market. These figures do not show EBICo prices. National average prices can be misleading. Advisers should stress this and use current local prices when advising consumers. The best comparisons will be made from one of the switching websites (see page 15). PAGE 41 Figure 6 GB average cost of gas, medium user, PPM Figure 7 GB average cost of electricity, medium user, PPM SECTION 9

42 PAGE 42 Do consumers switch anyway? Some prepayment meter users do indeed switch supplier and do so regularly, usually at the prompting of door-to-door sales agents. Indeed, the project found that shortly after our advice sessions had started npower ran a successful sales drive which prompted consumers to switch to them, including some of those people who had been advised by the project that EBICo was the cheapest supplier for them. Ofgem has published its own research showing that over half of the prepayment meter users who do switch supplier actually switch to the three most expensive suppliers. Energywatch believes that this is, in large part, a reflection of door-to-door mis-selling by those energy companies and has consistently campaigned to stamp out misselling by suppliers. It is suggested that any project to encourage prepayment meter users to switch energy supplier is accompanied by a campaign or advice on the pitfalls of door step selling agents. Your local Trading Standards office may be able to help organise such a campaign. Advice for making similar projects work Learning from the success of Beat the Cold Beat the Cold is an independent charity in Stoke on Trent that has run similar outreach events in the towns of the area. Energywatch supported three such events in the summer of 2008, which proved to be more effective than the outreach project in Castle Vale. The following are some of the factors which Energywatch believes contributed to the success of these events: Beat the Cold has a higher local profile than Energywatch, possibly because it is local and has a history of working in the area. This may mean consumers were willing to believe that the sessions were worth attending. The advice sessions were a partnership between Beat the Cold, Energywatch and the Stoke on Trent Warm Zone. Each partner offered a different service, which meant consumers attending got more out of the event than simple advice on how to switch. Beat the Cold engaged a local PR firm to raise publicity ahead of the outreach sessions, including advice sessions and interviews on local radio. The advice sessions were planned for days when many people would be out and about. Venues were easily accessible to other scheduled events such as the local market day, or held in a library which was hosting a family history research day. Beat the Cold used several workers who worked the local streets around their outreach events encouraging people to attend (the Energywatch/ CVCHA project also employed this technique and found that it required known CVCHA staff to do this if it was to be effective). Other advice The most successful way of encouraging people to take advantage of our outreach was word of mouth. A number of people used the project based on the strength of a personal recommendation. This could have been from a friend or neighbour, or a trusted member of CVCHA staff. It is suggested that similar projects adopt an approach to advice delivery that features champions for the cause, through either: Training a small number of local residents to do the outreach and advice themselves in their immediate area. This cascade outreach has the advantage of trusted communication routes and the ability to give bespoke advice as and when local residents want it. The disadvantage is that people may not want to discuss account problems or debt with their friends or neighbours. This could be overcome with a referral route to other advisers.

43 Training members of staff within the housing association, or groups of housing associations, to become energy experts. These staff could then provide a wide range of advice over a longer period of time and in a less intensive way, enabling them to learn what methods are effective. It would also provide the time to build and maintain credibility with residents. Keeping the project in house should increase buy-in and referrals from across the housing association and partners. Section 6 lists organisations that could help with training. Using a longer-term project with well-known champions is also likely to be able to provide more effective support and follow-up to people considering switching, but who need more than one advice session to convince them to switch. The Castle Vale project found it very difficult to fully engage the public and third sector organisations in the area and to get them to refer their clients. It is suggested that this was a major failing of the project and that other projects would be more successful if they could get full buy-in from organisations that work with the residents of the area. To trade on the effectiveness of personal recommendations, the initial leaflets carried an endorsement of the project from a local person. This proved very effective with people who knew the person involved but completely ineffective with other residents. Where there is a lack of universally known and trusted local figures it may be that a number of different endorsements are needed. Castle Vale high street has a very low footfall during the day and the MORI focus groups were split on the best locations for street outreach work. Other similar projects in Liverpool and Norwich have encountered differing results with street outreach in shopping areas. However, one factor in common with the work in Castle Vale is that people are very resistant to being referred to a different location for further advice. The obvious solution would be to use internet price comparison tools in the street, but this presents a number of technical and security difficulties. The most effective outreach appears to be conducted in public buildings with a high turnover of people and with secure access to the internet and a private area should people wish to discuss a confidential issue. Project costs and value for money Energywatch spent approximately 12,000 on this project including about 8,000 worth of adviser time on outreach sessions and in resolving the problems generated when back in the office. Similar projects could be managed on much smaller budgets, as most advice sessions were considerably overstaffed. It is estimated that the 19 advice sessions could have been provided with the same level of support for 5,000 if the number of advisers had been optimised. It is estimated that on average consumers who switched supplier when advised by the project saved about 90 a year on their electricity accounts and about 125 on their gas accounts. This level of saving means that the project would have needed to help just 55 consumers switch their gas and electricity supplier in order to have saved the residents more than was spent on the project. However, the savings made by just 23 consumers switching their gas and electricity supplier would be more than the cost of a smaller project, which is estimated to be about 5,000. This analysis does not take into account savings residents will have made through Energywatch securing debt write-offs and/or compensation payments when resolving the account problems identified in the outreach. PAGE 43 SECTION 9

44 Section 10: Advising people with learning difficulties This section was produced and designed by Yarrow, who specialise in working with people with learning difficulties. Below is some best practice advice on how to communicate effectively. This is followed by a guide for tenants on how to get the best deals, which you may photocopy and disseminate. Effective communication between you and someone with a learning difficulty Best practice Best practice during the meeting between you and the person would require you to uphold the individual s rights to accept/decide whether or not to take part in the meeting, take the advice of the staff (if staff are present/ needed for this person) and to follow the next few steps in this guide to ensure an effective and pleasant meeting between you and the individual.

45 PAGE 45 Body language Your body language is very important in this meeting. Unless instructed, sit with the person if they are seated and/or stand if the person is doing so. Do not stand or sit too close as this can be seen by many people as intimidatory. Eye contact is important but do not stare/maintain eye contact for too long as it too can be seen as intimidatory. For example, when engaging with the person you should shift your gaze between the person and your booklet. Not only will that help to maintain a more positive interaction but it will also reinforce your booklet and its relevance in informing the person of why you are there to visit. In relation to your body, keep your body in a neutral stance/position whereby you are not crossing any limbs or placing your hands where the person cannot see what you are doing. When making gestures with your hands do not make any sudden or large gestures as these can distract the person or could confuse them, so keep gestures to a minimum and avoid quick and sudden movements. Communication Only if necessary, consult staff if they are present so as to find out the preferred method of communication of the individual. Speak to the individual with a calm tone and speak clearly. Avoid using abbreviations and abstract words as this can be quite confusing. Use simple and clear language and make your sentences as short as possible. It is very important to note that not everyone can read or write so it would be useful to use visual aids for this person. There are suitable visual aids In the easy read sheets on pages Rapport It is important to build a rapport during this meeting with the service user for the sole reason that if this person is to listen to what you say, retain as much information as possible and to decide on whether or not he/she should act on the information given, you will need to engage with this person on his/her level. Use the steps above to try and create a friendly and open rapport in the meeting between you and the individual.

46 PAGE 46

47

48

49

50

51

52

53 index advice sessions, energy 33,35 aggregation deals 17 Association of UK Energy Agencies (AUKEA) 27 annual statements, Ofgem rules 8 Beat the Cold 42 billing information displayed on 8 methods of 14 Ofgem rules on 8 Bill Nominee Scheme 37 British Gas Energy Trust 23, 27 Essentials Combined Scheme budgeting payment schemes 18 capped price tariffs 14-15, 18 card see prepayment card cash, payment by 14, 18 Castle Vale switching project Charis 27 cheque, payment by 14, 18 Child Poverty Action Group (CPAG) 27 climate change 27 complaint handling standards (Ofgem) 29 complaints, making Confidence Code 15 Consumer Direct 9, 26, 28 Consumer Focus 26, 28, 32 Cornwall Sustainable Energy Partnership 27 credit meter 13, 20 deadlock letter 29 Debt Assignment Protocol (DAP) 16 Department of Energy and Climate Change (DECC) 11 debt and supplier/meter switching 9, 16 Department for Work and Pensions (DWP) 15 direct debit 14, 18 disabled consumers see Priority Service Register; learning difficulties and energy advice doorstep selling Ofgem rules on 9 and prepayment users 12 bypassing 17 and energy campaigns 38 DTS meters see Dynamic Teleswitching dual fuel deals 14 Dynamic Teleswitching (DTS) 17 Eaga 26 Ebico 14, 39 Economy 7 tariff 13, 16, 39 Economy 10 tariff 13, 16 emergency contact numbers 31 emergency credit 17 energy advice sessions see advice sessions, energy Energy Assist (EDF) 23 Energy Efficiency: the guide 26 Energy Efficiency Partnership for Homes 26 EnergyExtra 17 Energyplus Care 24 energy price plans see energy tariffs Energy Saving Trust 26 Energy Supply Ombudsman 26, 28 energy tariffs Energy Trust (EDF) 23 Energywatch see Consumer Focus Energywatch consumer manual 17 Equidual tariff 14 Equigas tariff 14 Equipower tariff 14 Essentials Combined Scheme First Step Scheme (npower) 24 fixed price tariffs 14-15, 18 flexible payment schemes 18 Fresh Start Scheme (Scottish Power) 24 Fuel Direct 14, 18 Fuel Rights Handbook 27 gas emergency contact number 31 Green Homes Service see Energy Saving Trust Green tariffs 14, 17 historical energy prices INDEX

54 PAGE 54 holidays, ensuring supply 17 Home Energy Care Register 25 Home Heat helpline 22 inhome display (IHD) 10, 11 internet tariffs 14 Keeping Warm in your home: A Housing Association tenant s guide 27 key see prepayment key learning difficulties and energy advice limitations on switching see switching, limitations on meters, types of 13 mis-selling 38, 42 National Energy Action Week National Energy Action (NEA) New Progress Housing Association 27 Ofgem complaint handling standards 29 contact details 25 new package 8 smart meter consultation 11 older people, tariffs for 14 ombudsman see Energy Supply Ombudsman One Bill 14 online account management 19 paper bills 8, 14 paper tokens 13 payment card 14 payment, methods of 14, prepayment card/key 13, 17 prepayment market, key points 12 prepayment meter (PPM) contact numbers for users 31 extent of use 13 and other payment methods useful information on 17 prepayment premium campaign against 2, 5 determining 8-9 lifting of 5 price comparison services 15 price plans see energy tariffs Priority Service Register 25, 37 Prompt Pay tariff 14 PSR see Priority Service Register publicity material, in energy campaigns 33-34, 39 quarterly bill payment (see also standard credit) 13, 14 reward schemes 14 sales and marketing, Ofgem rules on 9 savings through switching 5, 7, 18-21, 32 shopping centres and energy campaigns 36 smart meters social tariffs special tariffs 14 Spreading Warmth (npower) 24 standard credit 13, 14 standard direct debit 15 standards of conduct, Ofgem 8 street outreach and energy campaigns 33, 36 switching alternatives to 17 from prepayment to credit meter 20 limitations on steps in 21 suppliers 21 tariff information, on bills 8 telephone complaints 28 Tenant Empowerment Toolkit 26 Third Sector Declaration on Climate Change 27 three-rate meters 17 time of use tariffs 10 (see also Economy 7 tariff; Economy 10 tariff) trust funds (of energy companies) 23, 27 undue discrimination, Ofgem rules on 9 vulnerable consumers see disabled consumers; learning difficulties and energy advice; Priority Service Register Warm Response (npower) 25 wind on 17 word of mouth (in persuading switching) Working as an Energy Champion in your Housing Association 27

55

56 Co-funded by Guide highlights: Prepay meter customers save about 473 million a year because of our campaign to get them a fairer deal for their energy. Customers can reduce their energy costs by switching supplier and save up to 100 by changing their payment method. Housing associations are perfectly placed to run projects to help their tenants get the best energy deal available for them. The National Housing Federation represents 1,200 notfor-profit, independent housing associations who together provide two million homes for around five million people in England. Housing associations have launched in business for neighbourhoods, a project to improve performance and challenge negative perceptions of the sector and its customers. They have made fresh commitments to neighbourhoods, customers and excellence. For more information see Designed and produced by ewens ltd. National Housing Federation Lion Court 25 Procter Street London WC1V 6NY Tel: Fax: info@housing.org.uk This document is printed on re-cycled paper using bio-degradable inks as part of National Housing Federation s commitment to protecting the environment.