Back charging 'forces customers into debt'
Published On 16 March 2007
A group of MPs has today (March 16th) slammed energy suppliers for forcing customers into "overnight debt".Scottish Power, Powergen and npower have been criticised for back charging as many as 750,000 customers for underpayment, after bumping prices up in recent years.
There are currently 131 MPs supporting a campaign to censure the three companies, after energywatch and Citizens Advice reported that thousands of customers have been left owing a considerable amount of money.
Labour MP Brian Donohoe said: "It is simply unacceptable that these three huge companies still insist on penalising low income consumers by forcing them into debt. What is even worse is that it is the outdated technology, poor practice and inaction of these very companies that is causing this, yet they still insist on hammering their own customers."
Teresa Perchard, director of policy for Citizens Advice, has urged the companies to act responsibly to customers "by only implementing price rises when they manually reset meters".
According to the BBC, Powergen has resolved to complete a £21 million upgrade of its prepayment token meters by the end of the year. Scottish Power is also looking to replace its prepayment meters in order to eliminate the existing injustice.
