Ofgem already has power to prevent non-transparent pricing mechanisms, Chloe Carpenter argues
On 27 August 2013, new standards of conduct imposed by energy market regulator Ofgem on energy suppliers came into force. These require suppliers to behave and carry out actions in a “fair, honest, transparent and appropriate manner”, provide information which is “complete, accurate and not misleading”, “communicated in plain and intelligible language” and which is “fair both in terms of its content and in terms of how it is presented”. The standards are backed by fines if necessary.
This is to be followed by other changes, including suppliers being limited to four “core” tariffs by the end of December 2013 (in the absence of any appeal to the Competition Commission from an energy company). It would seem that this further change is intended, in part, to eliminate so-called “multi-tier tariffs” whereby one energy company charges, eg, 10p per unit for the first 50 units, then 8p per unit for the next 100 units, then 6p per unit for the next 1000 units and so on, plus (sometimes) a standing charge, whereas another
